Keynote address by The Hon Mr Justice Harris, Court of First Instance, High Court, Hong Kong
Panel discussion - Asia Pacific distressed-debt market outlook
Rising corporate debt and tepid economic conditions are raising serious red flags across Asia Pacific. These concerns come on the heels of an already tumultuous year in 2018, with Debtwire data recording US$159bn in restructured debt as growing non-performing loan (NPL) volumes create clear signs of increasing pain in the system. At the same time, opportunities are being created for distressed debt investors and restructuring professionals in numerous Asian economies as governments begin to implement regulatory reforms to improve the restructuring process.
• What is happening to capital flows involving China and Hong Kong – and how will this change over the next 3-5 years?
• How is the US-China trade war impacting businesses across Asia-Pacific and which industries are most vulnerable?
• Which countries are launching regulatory reforms to update restructuring and insolvency regimes – and which have been most effective so far?
Panel discussion - China Cross-border Restructuring: Issues related with working out positions in the bank and bond space
Tightening credit standards, rising trade tensions and slowing economic growth has led to an increasing number of defaults in the Chinese credit market resulting in an increasing number of restructurings. Offshore creditors are finding themselves in new territory with the need to work directly with onshore banks, bondholder groups, government offices and bankruptcy courts to understand where they stand in the enforcement waterfall and to participate in any restructuring negotiation.
This panel discussion will focus on the successes, challenges and observations of early market participants in cross border restructurings.
- Comparison of offshore creditor positions in a default situation: Standalone credit position, group guarantee, keepwell and other credit support, and creditor to related party entities in default
- Strategies on engaging with and influencing onshore creditor groups and other stakeholders
- Role of the government in restructurings related with SOE and POE restructurings and understanding priorities that drive restructuring decisions
- Legal strategies and the China bankruptcy/reorganization process
Panel discussion - Spotlight India: The IBC corrects course
Changes to India’s three-year-old corporate insolvency and bankruptcy code (IBC) are unfolding as the country tries to simplify and expedite the regime’s resolution process. The amendments could provide a catalyst to further engagement from distressed funds long sceptical of investing given the previously drawn-out and uncertainty bankruptcy process.
This panel will include a discussion of these trends as well as answer questions such as:
• What are the key changes happening to the IBC?
• How active were distressed debt investor prior to these amendments – and what kind of activity will we likely see in the year ahead?
• What have been and will continue to be the main obstacles for foreign investors considering Indian distressed assets?
Debtwire - Introducing Indian Bankruptcy Data
Panel discussion - Debtor-in-possession vs administrator-run restructurings: What works best, where
In any restructuring scenario, creditors are faced with a range of legal options with these varying depending, among others, which jurisdictions come into play. This segment looks at the issues arising from restructurings governed by either Hong Kong or Singapore law, US Chapter 11 proceedings and cross-border workouts involving the Cayman Island, the BVI or other offshore jurisdictions. The discussion will compare debtor-in-possession run restructurings with those where administrators are driving the workout process with a focus on how creditors can protect value and employ different tactics to defend their interests.
• How can lenders decide whether to enforce or seek an appointment?
• Is it always the case that enforcement and/or commencement of creditor-led proceedings are value destructive? Can this be managed?
• What are the alternatives to enforcement that also protect creditor rights?
Fireside chat with Hon. Kevin Carey (Ret.), Partner, Hogan Lovells
Panel discussion - Filling the gap: Private financing takes root in Asia
As Asia’s banks become cautious of their lending activities due to regulatory restrictions and mounting non-performing asset pressures, private financing and debt funds are stepping in to fill the gap in corporate lending needs. While appetite for private debt has grown recently, debt investors still face challenges as they deal with competitive pressures and legal and regulatory issues in their search for yield.
• China, India and emerging Asia – which markets hold the greatest potential for yield?
• How can private financing and debt funds compete with the traditional lenders – and will the shift to alternative capital sources be deeply disruptive or a minor change to Asia financing landscape?
• Which lending structures have we seen as most effective -- and which have failed to work?
Closing & cocktail reception
*Agenda and speakers are subject to change