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Adam Gallagher Quoted in Bloomberg on Recent Rise in U.K. Insolvencies
04.26.22
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Partner Adam Gallagher was quoted in a Bloomberg article titled, “U.K. Insolvencies Surge and Likely to Worsen Under Inflation Stress.” The article highlighted how, according to data recently published by the Insolvency Service, U.K. insolvencies are rising and could continue to climb as a result of soaring inflation and the withdrawal of pandemic-related stimulus. Adam explained that “Restructurings really happen when you can’t refinance, and refinancing is becoming more challenging than it was before, in particular for those sectors exposed to more expensive and volatile inputs, such as energy and food.” He further explained that businesses that had the opportunity to refinance over the last six months but didn’t may find it more challenging to do so now as interest rates continue to rise and debt becomes more expensive.
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