About this course
In today's volatile credit environment, understanding how to navigate financial distress is a critical skill for any finance professional. Restructuring activity is no longer confined to specialist desks. Credit analysts, private equity professionals, and corporate finance teams increasingly need a working command of distressed situations, capital stack analysis, and recovery dynamics.
This intensive course equips participants with a practical, deal-focused toolkit to analyze distressed situations, structure restructuring solutions, and assess recoveries across the capital stack.
By the end of the session, participants will be able to diagnose distress, evaluate restructuring options, and quantify the impact of restructuring decisions on stakeholder recoveries and valuation.
What you will learn
Understanding Financial Stress & Distress
- What drives financial distress: operational vs financial causes
- Identifying early warning signals (financials, liquidity, markets)
- Mapping restructuring pathways: liquidation vs going concern
Capital Structure & Creditor Dynamics
- Contractual vs structural vs temporal subordination
- Understanding creditor incentives and control points
- Priority of claims and implications for restructuring strategies
Liquidation Analysis & Recovery Waterfalls
- Estimating break-up value vs going concern value
- Asset identification and liquidation discounts
- Building a recovery waterfall model
- Estimating recoveries across different creditor classes
Going Concern Restructuring Strategies
- Amend & extend
- New money / capital raises
- Debt-for-equity swaps
- Debt forgiveness & CODI implications
- DIP financing: purpose and positioning
Post-Restructuring Valuation & Outcomes
- Comparing restructuring scenarios
- Recovery outcomes across capital structure
- Equity upside vs creditor downside risk