Navigating uncertainties

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A new perspective required

As financial markets are starting to recover from rate shocks, rampant inflation and other macro-economic challenges, companies have only just begun to feel the impact on their business models – requiring boards to adopt a new perspective.

Impact on business models requires new perspective
Whether it is COVID, soaring energy prices, interruption of supply, trade restrictions or unexpected public activism, in today's reality boards are increasingly exposed to unprecedented, major challenges without much time to prepare and adjust to the new circumstances.

Companies may have to deal with special situations, crisis management and stakeholder dynamics emerging from disruptive events

Most external events have a natural owner in the company and, considered in isolation, may seem clearly defined and manageable. However, the ripple effect, especially if coupled with other developments, may have a wider disruptive impact. No individual in the company will have complete oversight, which means that these types of events require the immediate attention of senior management and are, as such, executive matters by nature.

We can help companies weather the storm

Our team draws on years of experience dealing with special situations, crisis management, governance and stakeholder dynamics during disruptive events. We help map exposure to liabilities and third party involvement (concentration risk), and help to build a contingency plan. Communication, clearly defined roles and ability to rapidly scale up or down are must-haves for companies from day one. On these pages, we help identify other points to focus on, do's and don'ts, and lessons learned from live cases. We deliver insights on potential consequences and considerations to be taken into account when navigating uncertainties, and offer "no regret" desktop preparations. See more below.

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Potential impact

Liquidity: Keep control of the process
The limitations and covenants in debt instruments go beyond the financial covenant report. A refresher of what those are prevents surprises and keeps you in control of the process towards lenders.

Annual accounts: Be prepared for auditor discussions
Auditors will require a view on the impact of the developments. If that impact may be material, expect serious discussions in this year's annual audit.

Tax: Be aware of pitfalls and opportunities
Mapping out potential tax consequences and related actions is key.

Financing: Scenario planning is key
Pending M&A, commercial, financing and capital markets transaction processes may be paused, slowed down or reconsidered.

Commercial contracts: Map risks and uncertainties
Counterparties may also be looking to terminate or renegotiate existing commercial contracts.

Pro-actively focus on no-regret preparations to retain full optionality to address such potential impact.

PROACTIVE PREPARATIONS

Insights

28 February 2025

First month of Trump presidency signals shifts in DOJ white-collar enforcement priorities

In the first month since the inauguration, the Trump administration issued a series of executive orders and memoranda that direct the U.S. Department of Justice (DOJ) to pause enforcement under the Foreign Corrupt Practices Act (FCPA) and that put a strong emphasis on fighting cartels and transnational criminal organisations (TCO). While the directives clearly represent a dramatic break from past DOJ priorities and several issues remain as "known unknowns," it bears emphasizing that they do not change the validity and enforceability of the underlying laws, including the FCPA, sanctions, export controls and terrorism offenses.
27 February 2025

Omnibus Proposal amending CSRD, CSDDD and Taxonomy Regulation published

In recent years, several policy publications – including the Commission's Better Regulation Agenda (2021), the Draghi Report on the Future of European Competitiveness (2024), and the Commission's Competitiveness Compass (2025) – have voiced concerns and proposed measures to ensure that regulatory requirements do not hinder the EU's competitiveness.
28 January 2025

Liability management in finance: key considerations for Dutch borrowers

Developed in the US since 2016 and now a relatively common phenomenon in the US, liability management exercises (LMEs) are making their way into European debt structures. LMEs allow borrowers to access liquidity and reduce their debt burden through contractual permissions rather than in-court or extrajudicial restructuring processes. While these exercises can help companies attract new financing, they also may have implications for creditors and lead to "creditor-on-creditor violence", where different creditor groups act strategically to protect their interests, often at the expense of others.

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