In the face of economic challenges, including those caused by the war, Ukrainian companies are seeking tools to maintain stability and avoid losing assets. One such tool is the preventive restructuring procedure. This legal mechanism allows businesses facing financial difficulties to avoid bankruptcy proceedings. UNN spoke with lawyers to find out the practical advantages and challenges of this mechanism.
What is preventive restructuring?
The idea of preventive restructuring originates from European law. As Sviatoslav Bolinskyi, CEO of the law firm “Bolinskyi and Team,” explained in an exclusive comment to UNN, in the autumn of 2024, the Verkhovna Rada implemented EU Directive 2019/1023 into Ukrainian legislation. This directive has been…