How does an asset deal fit into restructuring proceedings?
In restructuring proceedings, such as insolvency in Eigenverwaltung (debtor-in-possession management under Sections 270 et seq. of the German Insolvency Code), an asset deal is often used to rescue profitable parts of a company. The buyer can acquire precisely those assets that are needed for the business to continue, while problematic liabilities remain with the selling company. This supports the continuation of the business and the preservation of jobs.
