Mayer Brown has hired Ben McCosker to its Restructuring practice in Hong Kong as part of a wider build-out of its local capabilities.
John Marsden, partner and co-lead of the firm's Global Restructuring practice, confirmed that McCosker’s appointment in Hong Kong is a continuation of a global strategy to boost its Restructuring capabilities.
“We are currently experiencing quite a surge in work opportunities, in the distressed real estate, aviation, shipping and other sectors that are feeling the strain from prolonged impact due to Covid-19. Additionally, with the inevitable climb in interest rates, that will impact on businesses that are marginal in the present climate,” Marsden told FinanceAsia.
The firm is involved in restructuring cases in Hong Kong and mainland China, Indonesia and Malaysia, working with clients across heavily impacted industries.
Much of the demand for Restructuring in the next six to 18 months will come from mainland China, Marsden added, where businesses are feeling the higher costs of borrowing and sector impacts. Much of the work will be carried out from Hong Kong, he said.
McCosker reiterated the impact of widespread and rapid interest rate hikes, combined with China’s slumping GDP growth and ongoing concerns about a looming recession, as factors creating “a perfect storm” for distressed debt in Asia.
“Restructuring is an inherently counter-cyclical practice. While Covid-19 restrictions and the ongoing conflict in Ukraine create instability and uncertainty – leaving some investors on the side-lines – the biggest factor behind the upswing in our special situations and restructuring instructions has simply been the end of cheap money,” he told FA.
McCosker was most recently a counsel in Campbells’ Insolvency & Corporate Restructuring partner in Hong Kong, working remotely from London due to the territory’s travel restrictions. He was with the firm for seven months.
Prior to this, he was a solicitor and barrister at Walkers’ Restructuring and Insolvency practice, based in Bermuda and Hong Kong.
During this time, McCosker was involved in: the restructuring of Hong Kong-based Pacific Andes and its subsidiary, China Fishery, following its US bankruptcy filing in 2016; the 2018 restructuring of commodity trader, Noble Group; and the most recent restructuring of Trinity Limited.
In Asia Pacific, Mayer Brown has four partners and counsel actively engaged in restructuring-related work: Hong Kong-based Marsden and McCosker, Singapore-based Pierre Dzakpasu, and Vietnam-based David Harrison.
Across the region, Mayer Brown employs over 800 lawyers, with additional offices in mainland China and Japan.
