A Better Way to Restructure
At SGP Capital Advisors our sole mission is to preserve and enhance the equity value of companies in or nearing distress.
How we can help
Unparalleled Expertise & Experience
Co-founders Steve Smith and Jay Goffman have nearly 80 years of combined restructuring experience. Together they have restructured over $1 trillion in debt for companies worldwide in virtually every industry.
By combining world-class legal and financial experience and expertise, SGP Capital Advisors provides unique insights and perspectives on complex restructurings providing owners with a comprehensive and personalized road map for navigating distress. No other firm combines the legal and financial insight of SGP.
SGP’s co-founders have a long and distinguished track record of devising creative cost-effective out-of-court solutions. They invented pre-packaged bankruptcies and created the first-of-their-kind coercive exchange offers of debt and preferred equity. See deal list.
Creative Solutions
Bankruptcies are rarely managed for the benefit of equity holders. In our nearly 80 years of collective experience we have demonstrated that out-of-court solutions or quick pre-packaged bankruptcies are usually the most cost-effective way to maximize value for equity.
We have a long track record of devising creative solutions to avoid lengthy and expensive bankruptcies. Out-of-court restructuring techniques (many of which we originated) include amend and extends, asset dropdowns, market-driven exchange offers (with coercive exit consents or coercive backup Prepack options), as well as creative and highly structured refinancings.
In situations requiring new capital, we can leverage our extensive network to provide access to various “off the run” financing sources to help fill any funding need. Additionally, we will be forming a sister fund in the near future that will also be a source of capital for refinancings.
Superior Alignment
As a first principle, we seek to align directly with our clients, the owners of stressed businesses.
Our clients’ best outcomes are also our best outcomes due to our incentive based fee structures. We charge a modest monthly retainer, a minimum success fee, and a long term incentive fee (LTI) that is tied to equity or equity linked derivative returns. The LTI, which may be up to 50% of total compensation, only pays out if the plan we help devise is ultimately successful for the owner.
Should the proposed plan involve a new money investment, in certain circumstances we will request the opportunity to co-invest in the transaction through one of our affiliates. Putting our capital at risk on the same terms as our clients creates the best alignment of interests.
Our Founders
Smith Goffman Partners
Smith Goffman Partners