BDO Saudi Arabia's Cross-Border Insolvency services help businesses, lenders, creditors and other stakeholders navigate restructuring and insolvency situations involving assets, operations, creditors or proceedings across multiple jurisdictions.
Cross-border financial distress creates additional complexity. The outcome can depend on where proceedings are commenced, how parallel processes interact, whether foreign proceedings are recognised and how assets and creditor interests are treated across different jurisdictions.
BDO's restructuring, insolvency and forensic specialists work alongside clients and their legal advisers to assess these issues, coordinate financial and investigative work across jurisdictions and support strategies focused on protecting and maximising value.
Through the wider BDO global network, we can coordinate relevant local expertise across more than 160 countries and territories where restructuring, insolvency, forensic or asset-related issues extend beyond Saudi Arabia.
Cross-border insolvency and restructuring in Saudi Arabia
Coordinate proceedings, stakeholders and financial analysis when distress extends across more than one jurisdiction.
Where a distressed organisation has businesses, assets, financing arrangements or creditors in several jurisdictions, restructuring cannot be considered on a country-by-country basis alone.
BDO works with legal advisers and other stakeholders to assess the financial and commercial implications of the relevant jurisdictions, including the location of the debtor's centre of main interests, parallel proceedings and the treatment of foreign insolvency processes.
The objective is to provide stakeholders with a coordinated view of the financial position, assets, liabilities and available restructuring or recovery options across the jurisdictions involved.
Recognition of foreign insolvency proceedings
Support the financial and restructuring analysis required where foreign proceedings interact with Saudi insolvency processes.
Saudi Arabia's cross-border bankruptcy framework provides mechanisms through which a foreign representative may apply to the Saudi court for recognition of a foreign proceeding and seek relevant relief.
BDO supports foreign representatives, debtors, creditors and their legal advisers with the financial information, analysis, valuations and restructuring evidence required to understand the implications of cross-border proceedings and support the relevant process.
Creditor interests across jurisdictions
Understand how a foreign or Saudi insolvency proceeding may affect creditor positions, recoveries and available options.
BDO advises foreign creditors assessing their financial position in Saudi proceedings and Saudi lenders and creditors exposed to restructuring or insolvency processes in other jurisdictions.
Our work can include assessment of financial information, claims, restructuring proposals, expected recoveries and the implications of parallel proceedings, supporting creditors and their legal advisers as they evaluate available options.
Cross-border forensic and asset tracing support
Follow financial relationships, transactions and assets when complexity extends across entities and jurisdictions.
Cross-border distress can involve complex intra-group balances, guarantees, related-party transactions and movement of assets between entities and jurisdictions.
BDO's restructuring and forensic specialists can support investigations involving suspected fraud, potential misconduct, money laundering concerns and asset tracing, working alongside legal advisers where legal rights, duties or potential claims are involved.
We also help stakeholders analyse intra-group balances, cross-guarantees and transfer pricing positions and identify assets or businesses that may be relevant to a restructuring or realisation strategy.
How BDO helps
- Jurisdiction and centre of main interests analysis – Supporting clients and legal advisers with the financial and operational evidence relevant to assessing the debtor's centre of main interests and the appropriate coordination of proceedings.
- Parallel proceeding coordination – Supporting the financial and restructuring work required where insolvency or restructuring processes are progressing in more than one jurisdiction.
- Foreign proceeding recognition support – Providing financial analysis, information and restructuring support for foreign representatives and legal advisers involved in recognition applications before the Saudi courts.
- Foreign creditor advisory – Helping international creditors assess their financial position, potential recoveries and restructuring options in Saudi insolvency proceedings.
- Saudi creditor advisory – Supporting Saudi lenders and creditors in assessing exposure to foreign restructuring and insolvency proceedings.
- Intra-group financial analysis – Analysing intra-group balances, cross-guarantees, related-party positions and relevant transfer pricing arrangements across group entities.
- Asset tracing and realisation planning – Identifying and analysing assets across jurisdictions and supporting strategies for preservation, recovery or realisation.
- Forensic support – Financial investigation and forensic analysis where suspected fraud, misconduct or other financial irregularities may affect restructuring or recoveries.
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