Most GSB students will encounter distressed situations at various points during their careers, in their capacity as executives, business owners, investors, advisors, lenders, customers, suppliers, or competitors. Knowing how to navigate these situations is a critical skill in business. Financial restructuring is the process by which distressed companies, and their key stakeholders, use in-court and out-of-court tools and methods to renegotiate their key contracts for the purpose of rehabilitation. In contrast with operational restructuring, financial restructuring focuses on resolving problems on the 'right-hand side' of a company's balance sheet - its debt and non-debt liabilities. This course provides an intensive overview of financial restructuring techniques and processes from the perspectives of distressed firms and their key stakeholders. It is intended for those who plan careers in general management, private equity, entrepreneurship, credit and special situations investing, commercial and investment banking, turnaround management, or financial advisory services. While it is primarily a finance course, it incorporates interdisciplinary elements including negotiations, game theory, strategy, and business law. It is an advanced course, and enrolling students should be reasonably comfortable with financial analysis, valuation techniques, and basic financial modeling.
3 units · GSB Letter Graded
Most GSB students will encounter distressed situations at various points during their careers, in their capacity as executives, business owners, investors, advisors, lenders, customers, suppliers, or competitors. Knowing how to navigate these situations is a critical skill in business. Financial restructuring is the process by which distressed companies, and their key stakeholders, use in-court and out-of-court tools and methods to renegotiate their key contracts for the purpose of rehabilitation. In contrast with operational restructuring, financial restructuring focuses on resolving problems on the 'right-hand side' of a company's balance sheet - its debt and non-debt liabilities. This course provides an intensive overview of financial restructuring techniques and processes from the perspectives of distressed firms and their key stakeholders. It is intended for those who plan careers in general management, private equity, entrepreneurship, credit and special situations investing, commercial and investment banking, turnaround management, or financial advisory services. While it is primarily a finance course, it incorporates interdisciplinary elements including negotiations, game theory, strategy, and business law. It is an advanced course, and enrolling students should be reasonably comfortable with financial analysis, valuation techniques, and basic financial modeling.
Offered in Winter 2027 at Stanford University.