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ARTICLE · 17 NOVEMBER 2016

Atlas Iron restructure: the state of play

Clayton Utz
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The Atlas Iron restructure was a strong result, brought about because of the engagement of restructuring specialists,.

AustraliaInsolvency/Bankruptcy/Re-Structuring
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As with Elders beforehand, Atlas Iron keeps on giving to the restructuring industry. The Turnaround Management Association, Australia recognises Atlas Iron as winner of the 2016 Restructuring of the Year award.

In FY15, operating costs were slashed as key operating counterparties exchanged contract rights for equity and some profit distribution rights. This left a heavy senior debt load on the company in the form of Term Loan B instruments. Those instruments were held by a range of US and Australian financial investors, including a large Australian bank for which we act.

The key question for 2016 was how to right size senior debt spread across dozens of holders of paper.

Where did Atlas Iron come from?

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