Corporate Restructuring Advisory

Corporate restructuring involves activities such as division/separation, consolidation/merger or conversion of business types (like converting a limited liability company to a joint stock company, a joint stock company to a single member limited liability company, a joint stock company to limited liability company with two or more members or a private enterprise to a limited liability company, a joint stock company or partnership)

Corporate restructuring enables businesses to achieve specific goals including:

• Division/Separation helps businesses achieve goals related to segmenting business operations, reducing the scale of production and business activities, enhancing focus on core areas and streamlining organizational structure.
• Consolidation/Merger enables businesses to achieve goals related to scaling up operations, enhancing competitive strength, expanding market share or diversifying investment portfolios.
• Business Type Conversion allows businesses to achieve goals related to altering ownership structures, adjusting the legal/financial liabilities of owners and modifying governance frameworks to align with new business strategies or comply with legal requirements.

Corporate restructuring is often carried out during the buying or selling of businesses, with Mergers and Acquisitions (M&A) being a prime example. However, M&A activities carry various risks that can negatively impact businesses following M&A deals, placing significant pressure on all parties involved. The M&A process involves multiple intricate stages, requiring thorough investigation, evaluation and analysis across various aspects, including: Identifying suitable M&A partners, navigating regulatory and compliance requirements, assessing the financial health and performance of the target company, determining the accurate value of the business, evaluating brand strength, market position and market share, analyzing potential and existing customer lists, overseeing share transactions and ownership transfers. Given the complexities involved, M&A participants often face significant challenges, consuming substantial time and resources if they attempt to handle all aspects internally. Engaging professional M&A advisory services enables businesses to streamline the process, minimize risks, save time and costs and increase the likelihood of successful transactions.

Services

• Review conditions for corporate restructuring (division, separation, consolidation, merger or business type conversion).
• Recommend appropriate approaches based on the company’s restructuring needs/goals.
• Assist in preparing corporate restructuring plans (division, separation, consolidation, merger or conversion) to be submitted for approval by relevant authorities.
• Provide step-by-step consultation on compliance with current legal regulations.
• Consult on preparing necessary documents, transferring assets and liabilities, and restructuring the workforce as per legal requirements during the restructuring process.
• Consult on preparing the draft corporate charter post-restructuring to align with the new structure and operational framework.

For any further support and find more about the product details, please contact Corporate Finance Advisory Division - FPT Securities Joint Stock Company.