Italian liability management transactions (LMTs) operate within a distinctly formal and creditor-egalitarian contractual culture that sharply distinguishes them from the more flexible regimes of the United States and the United Kingdom. Compared with the US and the UK, where generally majority-lender mechanics, exchange offers and court-enabled compromises can more readily facilitate "coercive" or selective outcomes, Italy remains anchored to pro rata sharing and the near-unanimous protection of core lender rights.
LINKS
Read “Liability Management Transactions in Italy: Contractual Rigidity, Market Practice and the Boundaries of Innovation,” authored by Riccardo Agostinelli and published by Global Restructuring Review.