Page 6 - PowerPoint Presentation
P. 6
BUSINESSES IN DIFFICULTY
Overview
• Restructuring in the form of disinvestment may
help with dealing with financial distress, but may
also form part of a strategy of ‘best-practice
parenting’.
• According to this strategy, holding companies
should display a superior means of ‘parenting’ the
subsidiary and, if not possible, it should then
consider divesting.
• Here, the level of ‘difficulty’ in which the subsidiary
finds itself necessitates a broader reading.
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