As with the previous editions, our intention is to help general counsel, government agencies and private practice lawyers understand the conditions prevailing in the global restructuring market in 2016, with a view to the coming year, and to highlight some of the more significant legal and commercial developments and trends that have been evident in recent years, and that are expected to be significant in the future.
Recent years have seen considerable drama unfold in the economic and political spheres and it seems that 2016 is proving remarkable even by these standards. Restructuring and insolvency practitioners based in the United Kingdom have of course been preoccupied by the implications of the vote to leave the European Union, which are discussed in more detail in the England & Wales chapter of this volume. The realignment of British politics and policy presaged by Brexit appear to form part of a wider trend in the advanced democracies for the reassertion of national and popular politics after a long period of affluent apathy. In the wider world, the continuing turmoil in the Middle East and the adoption of an ever more assertive posture by China suggest prolonged uncertainty and the further overturning in the future of long-held assumptions in politics and diplomacy.
Given the context, anyone claiming to be able to predict clearly the future of the global economy cannot be believed. All we can say for certain is that anything can happen.
Chris Mallon is a partner at Skadden, Arps, Slate, Meagher & Flom (UK) LLP. He leads and has played a leading role in growing the firm’s corporate restructuring practice in Europe. He works closely with the London finance, corporate M&A and private equity teams, and the US Corporate Restructuring Group.
Mr Mallon’s restructuring and insolvency credentials span cross-border reorganisations involving a number of jurisdictions, including England, the US, Ireland, India, Russia, the Cayman Islands, Bermuda, Poland, Germany, Holland, Italy and Luxembourg. His clients have included Enron, Global Crossing, WorldCom, Loral, Telewest, Parmalat, Eurotunnel, Gate Gourmet, British Vita, the Tele Columbus Group, TORM A/S and Excel Maritime Carriers.
Mr Mallon has acted for the Tele Columbus Group in restructuring its debt by means of a debt transfer and debt-for-equity swap implemented via several schemes of arrangement; for Calyon in relation to ongoing negotiations with FGIC regarding settlement of transactions relating to the Rhineland Conduit; for Carlyle in relation to Carlyle Capital Corporation Limited’s restructuring and renegotiation of its credit lines; and Residential Capital LLC in connection with its financial restructuring. He advised British Vita in relation to the restructuring of complex debt facilities for its operating companies, as well as various clients regarding their distressed investments arising in relation to the US Chapter 11 filing of Lehman Brothers. He has been advising other lenders with structured investment vehicles on issues arising out of the recent credit crisis in the subprime and related structured investment markets. He also advised TORM A/S in connection with its financial restructuring, reducing its debt from US$1.4 billion to US$561 million, and involving third-party investor Oaktree Capital in contributing a number of vessels to the restructured TORM entity in return for an equity interest.
Mr Mallon has repeatedly been selected for inclusion in Chambers Global: The World’s Leading Lawyers for Business. Mr Mallon writes and speaks frequently on insolvency and restructuring. After graduating from the University of Western Australia, he was admitted as a barrister and solicitor of the Supreme Court of Western Australia in 1982 and as a solicitor in England in 1987.
The publisher acknowledges and thanks the following for their learned assistance throughout the preparation of this book: