Covid-19 Update from ICFG
Dear Valued Customer,
In the exceptional context we are living in, we are all obliged to put responses in place to deal with the most pressing issues and to limit the impact of the crisis on our activities. To do this, we must identify priority sources of risk and contain or address them as effectively as possible.
ICFG is also in Covid-19 emergency mode. All our member firms convene at least weekly from all countries across the globe to share knowledge and concrete solutions we can provide to our customers.
Each of you must be addressing critical issues within emergency cells, and the ICFG members would like to express their full support and willingness to contribute actively to assist you in the choices and negotiations you will face.
Particularly with regard to short-term financing needs: the banking and debt capital markets are likely to experience significant tension as a result of the abrupt shutdown of activity. Default situations will quickly arise: banks will be under heavy pressure from clients and institutional players will be called upon. Central agencies have already reacted by lowering rates and saying they are ready to inject any necessary capital.
As you know, ICFG members are well equipped to provide assistance to Corporates and Funds through their financial structuring advisory service.
Our members are able and ready to assist you in dealing with emergency situations:
- Sparring partner to elaborate crisis cash flow modelling
- Support in the analysis of credit and bank facilities documentation or capital market instruments documentation
- Identification of potential breaches (covenants, limitations, crossing of thresholds, other provisions, etc.) and assistance in renegotiating or passing waivers with your bank or institutional creditors
- Suggestions for funding sources, strategy proposals, combinations of eligible instruments, alternative diversification solutions
- Debt story pitch structuring and delivery to key targets
- Mobilization of ICFG members local banking and funds network
- Assistance in the selection of existing or complementary banking and funds partners to implement the chosen strategy (assistance in the drafting of applications, possible calls for tender, etc.).
Extraordinary measures are being put in place by the various governments to assist companies and enable them to exit stronger from this unconventional situation and should be harnessed systematically. We are ready to help you.
Beyond short term measures, we remain committed to long term value for our clients. We will actively look at the underlying value trends that a major assets repricing, combined with a major consumer practices triggered by this confinement period will induce, in terms of strategy focus and assets allocation.
Do not hesitate to contact us for any information or assistance you may need, this is not “business as usual” but we are happy to accompany you in this new journey to a brand new world.
We look forward to hearing from you,
ICFG (International Corporate Finance Group)