Corporación GEO in Landmark Restructuring and Bankruptcy

December 16, 2015

Cleary Gottlieb acted as counsel to Corporación GEO in the restructuring of approximately $4.5 billion of its bank and bond debt. This was the first restructuring to be filed in Mexico through a pre-packaged bankruptcy proceeding since the amendment to the Ley de Concursos Mercantiles in January 2014.

GEO and 16 of its subsidiaries filed for a pre-packaged concurso mercantil proceeding on March 20, 2014, with the approval of major Mexican banks and holders of approximately 38.5 percent of its high-yield unsecured bonds. GEO raised MXP 3.5 billion in new equity funding on December 15 after giving existing creditors access to equity and warrants in early November. Its shares were re-listed on the Mexican Stock Exchange on December 16, 2015.