The financial distress team deals with all aspects of capital and debt restructuring, as well as corporate and individual insolvencies and associated claims (such as voidable preferences and reckless and fraudulent trading).
We have a number of leading insolvency practitioners capable of dealing with all types of insolvency-related matters and can draw upon the expertise of other practice areas such as corporate restructuring, banking and finance, property, tax and structured finance.
We act for financial institutions such as banks, factoring houses, insolvency practitioners, etc. Our work includes:
- liquidation of companies and close corporations;
- sequestration of private individuals;
- scheme of arrangements;
- enforcement and challenges to security; and
- applications and appropriate mechanisms to sell assets under liquidation or sequestration.
- The team acted for Toyota SA Motors with regards to a ZAR40 million debt owed to them by Nyumbane Investments (Proprietary) Limited for various vehicles bought from Toyota. We liquidated Nyumbane Investments (Proprietary) Limited and with the assistance of the liquidator repossessed all Toyota's vehicles, which were then sold to mitigate Toyota's loss.
- Acting for Corridor Mining Resources in a share dilution dispute in terms of which Corridor alleged that their shares had been unlawfully diluted by their co-shareholder. Corridor valued their shares to be approximately ZAR250 million. After launching the necessary application Pinnacle Resources consented to reinstating Corridor's shareholding.
- Acting for various creditors in the Nationwide liquidation.