companydata.dkRestructuring (rekonstruktion)
Rekonstruktion (restructuring) is a court-supervised process to save an insolvent but viable company from bankruptcy — typically through a compulsory composition (writing down debt), a business transfer, or both.
During restructuring the company is protected against bankruptcy petitions while a restructuring administrator works on a plan creditors must vote on. If the plan succeeds, the company continues — often with reduced debt or new owners of the activities. If it fails, the company is usually placed into bankruptcy.
What does restructuring mean for trading partners?
A restructuring is a serious warning sign — the company is insolvent — but also a sign someone believes in a future. Suppliers should consider prepayment and watch whether the plan is adopted. Restructurings are announced in Statstidende and reflected in the company's status.
Related terms
Bankruptcy (konkurs)
Konkurs (bankruptcy) is the judicial winding-up of an insolvent company: the bankruptcy court issues a decree, a trustee takes over the estate, assets are sold, and proceeds are distributed to creditors by statutory priority.
Credit assessment (kreditvurdering)
A credit assessment (kreditvurdering) is a systematic evaluation of whether a company can and will pay its obligations. It typically builds on financials and key figures, the company's age and industry, and the history of management and owners.
Voluntary liquidation (likvidation)
Likvidation (voluntary liquidation) is the winding-up of a solvent company: the general meeting decides to dissolve, a liquidator winds down operations, all creditors are paid in full, and the remaining assets are distributed to the owners.