Debt Structuring

Debt Structuring

In the post Global Financial Crisis (GFC) period, there has been an increased prevalence of deterioration in customer/bank relationships. As banks’ liquidity concerns have increased and certain sectors have faced increased challenges, bank tolerance and support for many clients have dissipated.

At The SILC Group we work with our clients to provide support in their banking relationships, including:

  • Structuring of senior and mezzanine debt, as well as risk solutions, either for new financing opportunities or existing facilities.
  • Loan default support.  We guide our clients through post loan default events including debt restructuring and re-negotiation of loan documentation. This might include covenant breach waiver and reset negotiations, or facility extensions and amendment discussions. This can be a difficult time for clients and professional advice provides an understanding of the bank’s approach and reasonability thereof, which can often help to reduce misunderstandings and assist with securing a satisfactory solution for all parties.
  • Re-banking.  Clients often come to a realisation that their banking relationship has run its course or that they would receive better service, or support from another bank. We have the skills, expertise and network across domestic and international banks to help make such a transition, including the refinancing of debt facilities, as smooth as possible.
  • Credit enhancement solutions. Enhancement of credit risks allowing borrowers to improve their credit profile which provides access to increased loan to value ratios, extended loan terms, earlier access to debt facilities and/or overall lowering of funding costs amongst other benefits.
  • Mitigation of funding risk through diversifying our clients’ borrowing requirements via a panel of lenders.