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Developing Robust Relevant Alternative Analysis
Alexis Anaman, Senior Managing Director, Lisa Rickelton, Senior Managing Director, and Jonathan Dyer, Senior Director, FTI Consulting, London, UKSynopsis
The judgments in Restructuring Plans to date (particularly Hurricane Energy and Virgin Active) have emphasised the importance of the Relevant Alternative analysis for Restructuring Plans. The cross-class cram down function of Restructuring Plans, together with the possibility to apply to exclude a class from voting where the court is satisfied that none of the members of the class has a genuine economic interest means that robust Relevant Alternative analysis is fundamental to a successful plan.
In this context, we set out the key issues to consider when formulating Relevant Alternative analysis and selected learning points from recent judgments.
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