Distressed Debt (Re)Acquisition

DMS Governance, Dillon Eustace and Foley & Lardner LLP discussed structuring solutions to the rapid generation of distressed debt situations.

THE CHALLENGE

In 2009 and 2010, many loans were sold out of performing portfolios at a discount. Sometimes this discount may have been overly prudent and in turn detrimental to the investors in the lending funds or banks.

Learning lessons from the last crisis, we recognize the challenges that prudent Investment Managers face when restructuring debt portfolios, including ECI (Effectively Connected Income), CODI (Cancellation Of Debt Income), and Interest Deductibility criteria under the US Hybrid Payment Rules.

THE SOLUTION

A solution that responds to these challenges is the efficient creation and utilization of an Irish ICAV QIAIF.

THE PANELISTS

Panelists included leading debt structuring experts from the U.S. & Ireland:

Derek Delaney
Global Chief Executive Officer | DMS Governance

Raj Tanden
Partner | Foley & Lardner LLP

Stuart E. Fross
Partner | Foley & Lardner LLP

Donnacha O’Connor
Partner | Dillon Eustace

David Lawless
Tax Partner | Dillon Eustace