A Case Study Of Corporate Debt Restructuring

At present,the higher leverage ratio of many enterprises in our country makes the enterprises bear heavy debt burden,which affects the production and operation of enterprises.In order to reduce the debt pressure and operating pressure of enterprises,and to reduce the adverse effects of creditor's rights issue to creditors,China has introduced measures to reduce the leverage of debt.Debt-for-equity switch the debt into equity,both to reduce the burden of the debtor,also revitalize the bad asset which are hard to take back.In this paper,the impact of debt restructuring on enterprises is studied.This paper is based on the research results of domestic and international studies,application the debt restructuring theory,adopts the method of normative analysis and case analysis,draws on the experience of foreign countries and the actual situation of our country,research on the debt resctructing of enterprises.Its contents mainly include the following three parts: The first part analyzes the basic problems of debt restructuring,including characteristics,methods,procedures and mechanisms of debt restructuring.The second part is case analysis,a case study of the debt to equity swap of Yunnan Tin Group was carried out.The third part is the countermeasure study,through the above two parts to the debt restructuring theory and case study to get some enlightenment.In this paper,the debt restructuring of enterprises is studied,came to the following conclusions: Enterprises in China need to improve their related policies and laws and regulations to carry out debt to equity swap,and also to improve the mechanism of debt to equity,improving the internal governance structure of enterprises and strengthening the management of enterprises.Debt to equity swap can effectively improve the operating conditions of debt enterprises,and it can guarantee the interests of the creditor's rights enterprises,it's a win-win move for the debt restructuring both sides.