In the restructuring process, the rights of creditors vary depending on whether they are bondholders or not.
Creditors who are not bondholders
In principle the creditors of an absorbed company who are not bondholders of that company become creditors of the absorbing company.
However, creditors of any companies involved in a restructuring process who are not bondholders of such companies, and whose claims has arisen prior to the publication of the draft restructuring deed, may object to the transaction within 30 days of the publication. Such objections do not have the effect of preventing or suspending the restructuring, contrary to what happens when creditors object to a share capital reduction.
Bondholders
The draft restructuring deed must be submitted to bondholders’ meetings of the absorbed companies, unless an offer is published in a legal journal to reimburse their bonds upon request, in which case the absorbing company becomes their debtor.
Add comment