GALLERY: International Corporate Restructuring Summit 2014

By Business & Finance
17 September 2014
Dan O'Brien, columnist and economics analyst with Independent Newspaper Group with Brendan McDonagh, CEO of NAMA pictured at the CRS 2014 this morning
Dan O’Brien, columnist and economics analyst with Independent Newspaper Group with Brendan McDonagh, CEO of NAMA pictured at the CRS 2014 this morning.

Now in it’s sixth year, the International Corporate Restructuring Summit (CRS) took place this morning at The Convention Centre Dublin and was attended by 300+ delegates.

Chaired by Dan O’Brien, columnist and economics analyst with Independent Newspaper Group, and featured a number of high-calibre speakers on current issues pertaining across the restructuring arena.

Sponsored by business advisory firm Deloitte, law firm Matheson and financial services practice Alvarez & Marsal, attendees at the half-day summit were also provided with insights, news, trends, changes across the restructuring landscape and the implications of new legislation.

A keynote speaker at the event was the CEO of the National Asset Management Agency (NAMA), Brendan McDonagh who announced that NAMA was on target to achieve 50% senior bond redemption by the end of 2014, two years ahead of schedule.

Speaking at the summit, McDonagh said: “To date, NAMA Senior Bond redemptions have accumulated €13.75bn, with plans to secure a further €1.25bn by the end of the year. This equates to a 50% redeption of NAMA’s Senior Bonds by the end of 2014, which is a full two years ahead of schedule.”

Moody’s and S&P’s recently upgraded Ireland’s credit rating, highlighting progress by NAMA as resulting in a “very sharp reduction” in Government contingent liabilities. McDonagh added: “The Board of NAMA has set the target of 80% senior bond redemption by year-end 2016.”

McDonagh also highlighted NAMA’s continued investment and contribution to the recovery. “Over €1bn has already injected into the Irish economy to support commercially viable projects.

“Through providing working capital NAMA is also directly supporting 15,000 jobs in Ireland in trading business linked to our loans.  Includes jobs in property, hotel and leisure, retail, healthcare, manufacturing and agriculture. We are also supporting small and medium businesses in the retail sector through rent abatements  worth an annual €20m to the sector and long-term reliefs worth in excess of €40m.”

Attendees to the summit also heard from speakers including Brendan O’Connor, head of Financial Services Group, AIB, and Fabrizio Grena, executive director European Special Situations Group (ESSG), Goldman Sachs.

According to Tom Kavanagh, partner, Restructuring Services, Deloitte: “The landscape for corporate restructuring is evolving as economic recovery takes hold. This conference provides valuable insight into the most significant trends in insolvency and restructuring. The hot topic currently is the significant narrowing of the gap between asset values and debt values which is a game changer in terms of restructuring options and opportunities.”

Tony O’Grady, partner, Corporate Restructuring and Insolvency Group and joint head of Commercial Litigation at Matheson added: “As the Irish economic picture improves, the appetite for loan portfolios amongst international investors continues to grow. Ireland is now one of the most active European loan sale markets and many US investors now see Ireland as one of the prime target markets for loan acquisitions in Europe.”

In addition, Tom McAleese, managing director, Alvarez Marsal said: “The European banking sector is awaiting the results of the ECB / EBA stress in October to determine who passes and who fails. After the stress tests, the level of bank restructuring will decline with the banks (including Irish banks) now firmly focused on growing their balance sheets which will feed into the SME and corporate sectors positively”.

Other speakers who addressed the conference included: Eddie Byrne, 
director of Asset Management, Hudson Advisors Ireland; John Doddy partner, Corporate Finance Advisory Services, Deloitte; and Patrick Molloy, partner and head of the Banking Group, Matheson.