Looking to finance an acquisition or refinance an existing debt? (Re)financing can reduce interest payments and free up cash for investments, but building a new debt structure is complex, time-consuming and requires multiple professional services.
Financing a new acquisition or refinancing your organisation's debt in response to market conditions like favourable interest rates can go a long way towards strengthening your financial position. Whatever your ambition, you need to optimise the debt package to obtain the best possible conditions. To get the most favourable interest rate, for example, it’s essential to be well-positioned to effectively negotiate with the banks while making sure the terms of the agreement fall under acceptable market practice. If you’re building a new package you’ll also need a legal agreement, and the current agreement must be amended if you’re refinancing.
The debt package has to be optimised from a tax perspective as well: you need to take withholding tax into consideration and structure the package so it’s tax neutral. In case of financial distress, additional factors will play a role when determining the tax impact of the actions to take.
How do you optimise your corporate (re)financing in the most efficient and economically viable way?
Our multidisciplinary M&A Tax specialists work closely with our PwC Transactions and Legal teams to bring you a complete, end-to-end solution for your (re)financing initiative. We negotiate the conditions, structure a tax-neutral debt package and renegotiate the legal terms as required, to get you the best possible deal. To assess the impact of the (re)financing from tax and financial perspectives, we model the debt structure into your business.
Our extensive Network and experience enable us to resolve any issues that may arise quickly and effectively, so you can start reaping the benefits of reduced interest payments and freed up equity for investments.
In response to the most recent Belgian Corporate Tax Reform and its interest deduction limitation rule, we've developed a web-based solution to perform the calculations and assess optimisation opportunities.