Context · Distressed

Decision-capable when time and liquidity get short.

Distressed situations are not a learning curve. They require pre-positioned capital, established procedural logic and an acquirer that remains decision-capable while others are still sorting.

● 72-hour assessment · Procedure-experienced · DACH focus

Last updated: 1 June 2026

A distressed investor acquires companies in financial crisis, pre-insolvency or formal insolvency — typically via asset deal from the ongoing proceedings — and continues the operating business under new ownership. Tactical Management is the sector-agnostic distressed investor for the DACH region, with pre-positioned capital, established advisor relationships and procedural expertise in StaRUG restructuring, German DIP proceedings (§270b InsO Schutzschirmverfahren, Eigenverwaltung §§ 270 ff. InsO) and standard insolvency. Written initial assessment within 72 hours, indicative offer within a few business days, distressed closing typically 4 to 8 weeks from indication. Related contexts: Turnaround, Special Situations, Legacy Liabilities.

Distressed mandates have a property all other acquisition contexts do not: they run against the clock. A distressed investor that needs four weeks for an initial assessment is not a distressed investor. We are pre-positioned because we know what we look for in distressed mandates — and because we know the procedural architecture in which these mandates run.

The procedural architecture in which we act

Pre-insolvency restructuring via StaRUG: we regularly act as plan-supporting acquirer in StaRUG proceedings. Pre-positioning typically begins between the restructuring notification and plan submission.

Debtor-in-possession proceedings under §§ 270 ff. InsO and Schutzschirmverfahren under §270b InsO: we assess participation while the restructuring concept is still open. Closing structures typically via going-concern transfer (asset deal from the insolvent legal entity).

Standard insolvency: we bid where substance is separable and the procedural path is structured. Valuation typically on an asset basis with clearly defined employee transition under §613a BGB.

Out-of-court distressed M&A: liquidity crisis without formal procedural framework, with house banks and credit insurers as co-negotiators. Speed is the central value here; a 72-hour written assessment is regularly the difference between connection and loss of the mandate.

Investment criteria

What we acquire

Procedure framework

StaRUG, debtor-in-possession (Eigenverwaltung), Schutzschirm, standard insolvency, or out-of-court distressed M&A. All four assessed.

Substance continuation

Operational substance that can be continued after acquisition. Pure asset recovery without continuation perspective is not our model.

Closing window

Typically 8 to 14 weeks from initial contact in formal proceedings; significantly faster in out-of-court situations with clear structure.

Transaction capability

Closing certainty as seller value

In distressed mandates closing certainty is the central value for the seller. Where the transaction structure allows we can close without financing contingencies, accept reduced reps and warranties, and assume clearly defined legacy liabilities. In the insolvency context that is not a nice-to-have — it is often the difference between closing and procedural extension.

Assumption of liabilities and as-is acquisition serve stabilisation of the acquired operating business. Employee transition under §613a BGB is structurally prepared with works council consultation under §111 BetrVG. We communicate transparently to workforce and suppliers from day one.

Process

From scoping to closing

Scoping call

Confidential first contact by insolvency administrator, CRO, advisor or house bank. Description of procedural status and time criticality.

Written initial assessment

72 hours. Substance assessment, procedural path, transaction structure.

Indicative offer

A few business days. Valuation range on asset or share basis. Closing conditions explicit.

Due diligence and closing

Procedure-tactical negotiation with administrator, court-appointed officer or restructuring counsel. Closing typically 6–10 weeks from indication in formal proceedings.

Frequently asked questions

FAQ

What is a distressed investor?

A distressed investor acquires companies in financial crisis, pre-insolvency or formal insolvency. The acquisition is typically structured as an asset deal from the ongoing proceedings. The investor continues the operating business under new ownership structure.

Which procedural frameworks does Tactical Management work in?

StaRUG (pre-insolvency restructuring), Eigenverwaltung (German DIP under §§ 270 ff. InsO), Schutzschirmverfahren (§270b InsO), standard insolvency with going-concern transfer, and out-of-court distressed M&A situations. We assess all four frameworks.

How fast does Tactical Management respond to a distressed situation?

Written initial assessment within 72 hours of receiving materials. Indicative offer within a few business days where there is interest. Closing typically 4 to 10 weeks from indication, depending on procedural framework and complexity.

Does Tactical Management assume legacy liabilities?

Yes, where contractually definable. Tactical Management can assume pension obligations, environmental liabilities, product liability claims and contract-bound special situations as part of the acquisition architecture. The assumption is integrated into the deal valuation and serves operational continuation, not asset extraction.

One action

Distressed mandate against the clock?

Written initial assessment within 72 hours. Indicative offer in a few business days.

Submit a distressed mandate →