Out-of-court reorganization has been gaining ground as an agile and efficient alternative for restructuring corporate debts in Brazil. Recent data reveal a significant increase of R$3,201,000 in the volume of debts negotiated through this instrument in 2024, totaling R$755.6 million. This leap reflects the growing adherence of companies to the private renegotiation model, which presents itself as a faster and less costly solution than traditional legal proceedings.
Regional Leadership and Sectors Involved
The state of São Paulo stands out as the leader in the number of companies that have joined the out-of-court recovery process, accounting for 52% of the cases registered in 2024. Next in line are the states of Rio de Janeiro, Paraná and Minas Gerais. This scenario is a direct reflection of the concentration of large companies and industrial sectors in these regions, which have faced significant economic challenges in recent years.
Advantages of Extrajudicial Recovery
Extrajudicial recovery stands out for being a negotiation carried out outside the scope of the Judiciary. Its main advantages include:
– Agility: The process is completed in less time, allowing companies to quickly resume normal operations.
– Lower costs: The absence of legal disputes significantly reduces the expenses involved in restructuring.
– Flexibility: Allows for personalized negotiations between the company and its creditors, with greater autonomy for the parties.
Economic Scenario and Outlook
The growth in out-of-court recovery is directly related to the challenging economic scenario faced by several Brazilian companies in 2024. High interest rates, credit restrictions and inflationary pressures have increased defaults, leading many organizations to seek alternatives to avoid bankruptcy.
With greater publicity about the advantages of this model, it is expected that out-of-court recovery will continue to grow in 2025. In addition, legislative initiatives may be proposed to further improve the regulatory framework, encouraging companies of different sizes and sectors to join.
Conclusion
The significant increase in the use of out-of-court recovery in 2024 reflects a paradigm shift in the management of corporate financial crises in Brazil. This instrument has established itself as an effective solution, providing stability to companies and contributing to the preservation of jobs and economic activity. With the prospect of future advances, out-of-court recovery should further establish itself as an indispensable tool in corporate restructuring.
