For Distressed M&A, An Alternative to Section 363 Sales

– Law360

Manatt corporate and finance partner Jason Taketa authored an article for Law360 on the potential uptick in distressed M&A activity resulting from the increased Chapter 11 bankruptcy case filings amid COVID-19. In the article, Taketa noted that although buyers and sellers can complete bankruptcy court sale transactions under Title 11 of the U.S. Code, Section 363, they should “strongly consider the alternative business liquidation device outside of bankruptcy known as an assignment for the benefit of creditors, or ABC, which may be a more expedient, efficient, cost-effective and flexible path for distressed M&A transactions than the traditional 363 sale route.”

Read the article here



pursuant to New York DR 2-101(f)

© 2024 Manatt, Phelps & Phillips, LLP.

All rights reserved