Scheme of arrangement
The Scheme of Arrangement ( SoA ; German: Arrangement Scheme ) is a from the UK originating renovation process by which an approved by a court comparison between a company and its shareholders and creditors can be closed. In practice, it is usually used to reorganize a company before it becomes insolvent and for financial restructuring, e.g. B. via a debt participation swap , (partial) debt waiver , participation modifications or security tasks.
The process is governed by Section 895–901 of the Companies Act 2006 (CA 2006) and is supervised by the High Court in England . In accordance with Section 899 (1) CA 2006, a simple majority of heads and a majority of 75 percent of the debt or equity capital present is required in each creditor class to accept the scheme .
The SoA is also used in other countries. In Germany, for example, it was used to reorganize the companies Tele Columbus , Rodenstock and Apcoa . The restructuring plan envisaged by the EU restructuring directive that came into force in June 2019 will in future offer an instrument for financial restructuring based on the SoA in all EU member states after implementation by the national legislators.
Individual evidence
- ↑ Companies Act 2006. Retrieved October 31, 2017 .
- ↑ Companies Act 2006, Section 899. Retrieved October 31, 2017 .
- ↑ Stefan Sax, Artur Swierczok: The recognition of the English Scheme of Arrangement in Germany post Brexit . Journal of Commercial Law from March 31, 2017, issue 13, pages 601–607.