The Act on the Confirmation of Private Restructuring Plans (WHOA) enables companies, that are at risk of bankruptcy, to impose a compulsory settlement on their creditors and shareholders.
The aim of the WHOA agreement may be to reduce debts (the ‘Restructuring Agreement’) or to end activities not relating to bankruptcy (the ‘Liquidation Agreement’).
In addition to legal aspects, economic and financial issues also play a role in respect of the WHOA. At Hermes Advisory, we specialise in WHOA processes. For example, we try to work cost-efficiently by applying far-reaching automation using WHOA WorkFlow Systems.
WHOA status – WHOA is expected to enter into force on 1 January 2021.