New Corporate Restructuring Website Streamlines Direct Registration of U.S. and International Securities Owners
 

Many U.S. bankruptcy solicitations and international schemes of arrangement require the registration or "definitization" of public securities holders. Epiq Systems has developed an innovative proprietary website to assist in the registration process.

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The new website provides:

  1. A streamlined registration process for each firm
  2. Customized fields for each assignment
  3. Automatic lock-down upon expiration
  4. One-off editing features for required corrections

Wall Street Input:
In developing the website, Epiq Systems personnel worked closely with key banks and brokerage firms to help ensure that it was user-friendly for both domestic and international users.

When is direct registration necessary?

  1. In most U.K. schemes of arrangement and other international assignments in which the actual creditor must cast a vote (rather than doing so through the firm holding the securities)
  2. In a U.S. assignment when a publicly held security is to receive private or restricted securities under the Plan.

The Process of Direct Registration:
Upon instruction from the actual owner, the bank or brokerage firm holding the securities electronically delivers the underlying position into an account established by Epiq, or, if held internationally, takes action to “block” the position. This prevents the security from being traded. The firm then accesses the proprietary Epiq database which has been customized to capture needed information about the beneficial owner. The owner may then be dealt with directly, whether it is to obtain their vote or send them restricted securities.

Innovative Solutions:
The definitzation website is just one example of how Epiq develops innovative solutions tailored to the unique requirements posed by restructuring assignments.