DeHeng Assisted Dinghui Hongjun in Successfully Restructuring Geluobo Sports

2024-08-29

On July 23, 2024, the Beijing No. 1 Intermediate People’s Court (Beijing Bankruptcy Court) issued a ruling confirming the completed implementation of the Beijing Geluobo Sports Leisure Club Co., Ltd. Restructuring Plan, officially concluding the bankruptcy proceedings of Geluobo Sports Leisure Club Co., Ltd. (Glober Sports). This marked the successful restructuring of the company.

DeHeng assisted Tianjin Dinighui Hongjun Equity Investment Partnership (Limited Partnership) (“Dinghui Hongjun” for short) and its industry consortium in designing and executing a complex creditor claim declaration and restructuring investment plan. On this basis, DeHeng assisted the manager in formulating the restructuring plan which balanced the interests of all parties and achieved high approval rates: 100% in the secured creditors’ group, 85.68% in the general creditors’ group, and 100% in the shareholder group.

The restructuring case has been recognized as a Model Case in Beijing for Optimizing the Business Environment and was highlighted during a press conference held by the Beijing High People’s Court on the morning of October 16, 2023, as a model case of its 6.0 version reforms and achievements to promote the high-quality development of the sports, culture, and tourism industries and optimize the business environment in the capital city.

As the legal counsel for this project, the DeHeng team, led by Fan Liya, head of the Corporate Rescue and Bankruptcy Group, with lawyer Wang Zejun as the on-site project leader and with primary support from lawyers Wang Qiuhe and Hao Shouqin, worked closely and actively with other parties involved and provided high-quality and efficient legal services throughout the project.