Pre-packed insolvencies

Act No. 182/2006 Coll. on bankruptcy and settlement. The analysed time period covers the
years 2008–2017. The data sample contains all identified pre-packed insolvencies from
the insolvency register and the financial data was extracted from the Albertina corporate
database. Pre-pack insolvencies are insolvencies that begin with an insolvency proposal and
accompanied by a reorganisation plan already approved by creditors. First, the paper describes
the sample from different points of view and is focused on the size of the enterprise, the field
of activity, the length of insolvency proceedings and the proposed insolvency administrator
accompanied by an expert. Second, the paper analyses the financial situation of affected
companies. The evaluation of the financial situation is based on IN indices. The insolvency
proposal with a suggested reorganisation can be solved differently. The reorganisation
does not need to be approved by the court or if approved, can be turned in the bankruptcy
during the insolvency proceedings. The results of pre-packed insolvencies in the case
of successful rehabilitation or bankruptcy are the most important findings.