Court refuses to impose restructuring plan on dissenting shareholders

In June's updates we explained how Virgin Active had used a new restructuring plan to force a compromise onto its dissenting landlords. But in the latest case to consider this type of arrangement the judge refused to ‘cram down’ the dissenting members since it could not be said that they would be no worse off under the relevant alternative.

Restructuring plans

Although restructuring plans were introduced as part of the measures aimed at relieving issued caused by the Covid-19 pandemic, they are not a temporary solution but instead are a permanent feature of the UK's ongoing insolvency landscape.