Restructuring Advisory
Our holistic restructuring strategies address complex legal, financial, and operational issues to define viable paths and clearly articulate their implications for organizations in the automotive industry.
We take a comprehensive, hands-on approach to develop and execute restructuring plans tailored to each unique situation. At RPM, our deep manufacturing knowledge and direct familiarity with industry stakeholders, their legal counsel, and the broader advisor ecosystem in the automotive space enable us to craft strategic solutions that go well beyond financial analysis alone.
Our team is fluent in the industry’s restructuring language – from specific legal documents and deal structures to the stakeholder relationships that ultimately determine outcomes. Specifically, we focus on active stakeholder management, including engagement strategy, value driver identification, strategic positioning, and the negotiation and structuring of multi-party agreements.
The Tree
Strategic Paths
While situations evolve, our approach remains flexible throughout the engagement. At RPM, we evaluate each situation individually and help clients determine which path, or combination of paths, best aligns with operational realities, liquidity constraints, and stakeholder objectives.
Turnaround
To overcome financial distress, we work with you to identify and remediate operational constraints, restructure underperforming business lines, and reallocate resources toward areas that drive sustainable performance through a structured turnaround.
Sale
If an entity could benefit from a new parent organization, it may be time to pursue a sale. In those situations, we assist in evaluating potential buyers who may wish to acquire all or part of the business while developing a clear liquidity and operational roadmap to a transaction, that supports continuity and an orderly transition of ownership.
When continuing operations is no longer viable, we guide our clients through an orderly, structured cessation of operations that preserves value where possible, supports customer commitments, and provides clarity to stakeholders during a defined transition period.
How We Work
Our process is designed to bring clarity, momentum, and control to complex situations:
1
Assess the Situation
We rapidly evaluate financial performance, liquidity constraints, operational challenges, and stakeholder positions to establish a clear, fact-based baseline.
2
Define Strategic Options
We outline viable paths including turnaround, sale, or orderly closure, and quantify the financial and operational implications of each.
3
Align Stakeholders
We engage key parties, including lenders, customers, legal counsel, and ownership, to build alignment around the selected path.
4
Execute the Plan
We support execution by managing critical workstreams, coordinating stakeholders, and adapting in real time as conditions evolve.
5
Deliver a Clear Outcome
The result is a defined path forward with aligned stakeholders, a realistic timeline, and a disciplined exit from the restructuring process.
How Liquidity Management & Restructuring Work Together
Liquidity management and restructuring are closely connected but serve distinct purposes. Liquidity management is a near-term tool that enforces financial discipline and operational control, creating the time and visibility required for restructuring decisions to take shape. Restructuring typically follows liquidity stabilization as the longer-term solution that delivers durable organizational change.
We help clients manage both in tandem: stabilizing near-term cash flow while developing and executing a restructuring strategy that improves long-term financial performance and stakeholder outcomes.
Restructuring a challenged organization is rarely straightforward.
The right advisors must understand the industry, the stakeholder landscape, and the applicable legal frameworks before they walk in the door.
At RPM, we bring extensive experience navigating these dynamics and coordinating across constituencies when timing and credibility matter most.
Ready to Talk?
If your organization, or a supplier you depend on, is facing financial or operational challenges, contact us promptly to discuss how we can help stabilize the situation and execute a clear path forward.
