Debtwired!
Scott Greenberg on the state of LMEs, group formation and cross border co-ops
May 5, 2025
Scott Greenberg, global chair of Gibson Dunn’s restructuring practice, shares his extensive knowledge on liability management exercises and group formation. He discusses how market dynamics are reshaping deal activity and highlights trends in multi-tier LMEs and carve-out premiums. Greenberg delves into the significance of cooperation agreements and their influence on investment outcomes, particularly in cross-border scenarios. He also reflects on the cultural disparities between European and U.S. investment practices, emphasizing the necessity of understanding these differences.
35:39
Episode guests
AI Summary
AI Chapters
Episode notes
Podcast summary created with Snipd AI
Quick takeaways
- The ongoing volatility from changing tariffs, particularly related to China, is significantly influencing liability management exercises and overall deal flow.
- Cultural differences play a crucial role in cross-border restructurings, affecting negotiation strategies and the acceptance of cooperative creditor arrangements.
Deep dives
Impact of Tariff Policies on Deal Flow
The ongoing volatility from changing tariffs, particularly concerning China, has significantly affected deal flow and liability management exercises. Companies are currently anxious, uncertain about their long-term viability, as new credit opportunities are emerging alongside existing ones under pressure. Recent months have seen a surge in discussions about closing deals that had been in the pipeline for the last six months, driven by the urgent desire to finalize transactions amid market uncertainty. This increased activity is reminiscent of the influx of new credits observed during the pandemic in 2020, highlighting the cyclical nature of market dynamics under stress.
Remember Everything You Learn from Podcasts
Save insights instantly, chat with episodes, and build lasting knowledge - all powered by AI.
