WSG Article: Myanmar: Restructuring Options Amid Economic Downturn

Myanmar: Restructuring Options Amid Economic Downturn

October, 2022 - Ramandeep Singh Bhamra

Companies operating in Myanmar have been deeply affected by the present economic downturn due to several factors, ranging from pandemic to political. The economic downturn has led many companies in Myanmar to consider possible restructuring options.

DFDL Myanmar has helped many companies navigate the economic downturn, whether through the M&A process, suspending/hibernating (including mothballing) operations or winding up as a last resort. Our experts are happy to discuss the available mechanisms from Myanmar’s legal and tax perspective.

If restructuring is your goal, our team has practical experience with Myanmar’s laws and regulations governing distressed mergers and acquisitions and corporate restructuring.

Myanmar’s Insolvency Law, 2020, has also been a game changer. The Insolvency Law repealed two antiquated pieces of legislation – the Yangon Insolvency Act of 1909 and the Myanmar Insolvency Act of 1920 – and ushered in a new era of comprehensive, unified legislation dealing with personal, corporate, and cross-border insolvency.

Since the pandemic, the economic situation in Myanmar has been difficult, which led to DFDL experts creating two legal guides to share detailed information regarding possible options available to our clients. Additionally, DFDL experts recently conducted a webinar on corporate restructuring in Myanmar and the important legal and taxation issues a foreign investor should consider before restructuring or making exit plans.

These potential roadmaps are even more relevant today:

1) Myanmar Distressed M&A and Corporate Restructuring Guide 2021: This article contributed to the In-House Community covers legal and regulatory aspects governing distressed mergers and acquisitions and corporate restructuring in Myanmar.

To read this insightful FAQ, please click here:

2) Myanmar Insolvency Regime – Key Questions & Answers: DFDL Myanmar prepared a list of 15 questions and answers concerning the most significant provisions under the Insolvency Law.

To read this insightful FAQ, please click here:

3) Webinar on Restructuring Options – A high-level workshop, Tax and Legal Aspects of Restructuring a Business in Myanmar, held online at 9 am (Myanmar time) on 27 September 2022.

Click here for webinar video.

The information provided here is for information purposes only and is not intended to constitute legal advice. Legal advice should be obtained from qualified legal counsel for all specific situations.