Insolvency and Restructuring
Overview
We assist and advise Bulgarian and international clients on insolvency, corporate restructuring and distressed situations involving Bulgarian entities or assets. In this regard we help creditors, debtors, shareholders and investors protect value, manage risk and navigate Bulgarian insolvency and stabilisation procedures in a focused, commercial and time‑sensitive way. Drawing on strong corporate, finance and disputes capabilities, our team handles both early‑stage workouts and formal court proceedings under the Bulgarian Commerce Act, including complex cross‑border cases where lenders, sponsors or group companies are based abroad but face Bulgarian law issues or enforcement on local assets.
Clients’ Capacity
We act for a broad spectrum of market participants: secured and unsecured creditors such as banks, funds, trade creditors and bondholders; corporate debtors facing liquidity pressure, over‑indebtedness or covenant breaches; shareholders and sponsors seeking to stabilise portfolio companies or manage exits; distressed asset purchasers and special‑situations investors; and insolvency administrators needing targeted Bulgarian legal input.
Scope of Services
We provide end‑to‑end support across the life‑cycle of distress, from diagnosing insolvency risk and assessing restructuring options, through negotiating consensual solutions, to representing clients in insolvency and stabilisation proceedings, creditors’ meetings, recovery plan negotiations and avoidance (claw‑back) litigation.
Our work covers financial distress diagnostics, out‑of‑court restructurings and stabilisation, filing and conducting insolvency cases, enforcement of security over Bulgarian assets, distressed M&A transactions and the full suite of creditor‑rights and debt‑recovery tools. We also regularly advise directors and management on duties in the vicinity of insolvency, timing of filings and mitigation of personal liability. In cross‑border matters, we coordinate closely with foreign counsel so that Bulgarian steps fit seamlessly within a wider restructuring or enforcement strategy.
Approach and Experience
Our approach in insolvency and restructuring mirrors its wider corporate and M&A practice: practical, outcome‑driven and grounded in clear communication. We aim to translate complex Bulgarian insolvency law into concrete options, realistic scenarios and actionable recommendations, keeping clients informed about risks, milestones and timelines throughout. Whether you are a lender, investor, company or director, our English‑speaking team in Sofia, London and Dubai is well placed to guide you through financial distress in or involving Bulgaria and to help you identify and execute the most effective way forward.