The long-awaited rise in interest rates suggests that 2016 may see an increase in restructuring activity. The action may force heavily indebted companies in the energy, retail, and healthcare industries, among others, to pursue restructurings or file for bankruptcy.
At a glance
- Which global industries will feel the pinch this year? Energy, sovereign debt, shipping, and retail lead the list.
- Restructuring experts also expect healthcare, for-profit, education, and municipalities in the US to face distress in 2016.
- Brazil was named as the country outside the US that is most likely to have restructuring opportunities in 2016, followed by the UK.
- After seven years, during which bankruptcy filings were scarce, 2016 seems to offer better prospects for the restructuring industry.