Distressed and Recovery Asset Management
QCP invests and manages assets recovery through integrated approach:
- Securing control over assets and protection of creditors/shareholders rights.
- Debt restructuring (change of terms, conversion of debt to shareholder equity/assets).
- Funding solutions to provide liquidity and develop companies including attracting special buyout funds for distressed assets. In some cases QCP is interested to buy out debt of distressed companies from creditors using own and syndicated capital.
- Turnaround management to increase business profitability and cash flows control, provide liquidity to service debt.
- Secondary assets placement and providing effective exit to shareholders or creditors.
A broad network of providers of legal, tax, financial expertise allows us to offer our potential partners an integrated approach to distressed asset and turnaround management.
The typical scheme on distressed assets management involves a number of steps
- Establishing control over distressed assets
- Conversion of debt guarantees into corporate rights
- Cash flow control
- Execution of legal procedures aimed at establishing control over distressed assets
- Business restructuring/ reorganization, execution of bankruptcy procedures
- Creditor/investor representation in Board of directors
- Debt restructuring
- Development and negotiation of debt restructuring options
- Debt conversion into shares
- Implementation of legal procedures and debt restructuring transactions
- Funding solutions and additional financing
- Raising additional financing in the form of debt and equity capital
- Attracting special buyout funds for distressed assets.
- Deal structuring and execution
- Turnaround management
- Improving operational performance and liquidity management
- Management assessment and replacement/ temporary substitution if needed
- Corporate governance establishments
- Secondary placement
- Generation and development exit options for creditors/ investors
- Company preparation for public/ private placement – reporting, disclosure, corporate governance, marketing materials development, etc
- Secondary placements structuring and execution
