DUBAI – Kroll, the leading provider of data, technology and insights related to risk, governance and growth, and global law firm Reed Smith have jointly advised leading commodities trader Hakan Agro DMCC Limited in its highly complex restructure.

Registered in the Dubai Multi Commodities Centre (DMCC), Hakan specialized in the international trade of agricultural commodities, historically generating revenues in excess of $2 billion (bn) with operations spanning across a number of continents.

In June 2021, Hakan Agro appointed Haroon Ahmed, Assistant Managing Director in Kroll’s Restructuring Advisory practice, and Amir Ahmad, partner in Reed Smith’s Financial Industry Group, both in Dubai, as the lead restructuring advisors.

Kroll also known for its market leading forensic investigation capabilities, together with Reed Smith’s global restructuring teams, mapped out the restructuring options and are in the process of commencing recovery action following the appointment of liquidators.

The DMCC recently updated their insolvency regulations and in order to bring certainty to the liquidation process, an application was made to Dubai mainland courts to ratify the liquidation to allow winding up procedures to progress.

Ahmed, who helps lead Kroll’s Restructuring and Insolvency practice, commented: “The recent liquidation of Hakan Agro demonstrates Kroll’s restructuring and insolvency capabilities, being able to navigate through new insolvency regulations and engaging early with key stakeholders whilst preserving value for the creditor body. With continued stress in certain parts of the economy, we are expecting to see a notable increase in insolvencies within the region.”

Ahmad, who leads Reed Smith’s Middle East Special Situations team, commented: “We are seeing increased levels of distress in the economy with companies requiring specialist insolvency advice. With the Hakan Agro liquidation, we are pleased to have supported in delivering solutions and legal certainty in an evolving legislative landscape.”

The delivery of the restructure demonstrates recent investments by both Reed Smith and Kroll into its Special Situations teams, focusing on restructuring and insolvency.

Local solicitors, Samer Abdo and Badi Fattah of ARP Law Group, based in the UAE, supported in the restructure, together with Saad Maniar of Crowe Mak.

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About Reed Smith

Reed Smith is a dynamic international law firm dedicated to helping clients move their businesses forward. With an inclusive culture and innovative mindset, we deliver smarter, more creative legal services that drive better outcomes for our clients. Our deep industry knowledge, long-standing relationships and collaborative structure make us the go-to partner for complex disputes, transactions, and regulatory matters. Now celebrating more than 140 years of service, our firm spans 30 offices with 3,000 people, including 1,700 lawyers.

For more information, please visit www.reedsmith.com.

About Kroll

Kroll provides proprietary data, technology and insights to help our clients stay ahead of complex demands related to risk, governance and growth. Our solutions deliver a powerful competitive advantage, enabling faster, smarter and more sustainable decisions. With 5,000 experts around the world, we create value and impact for our clients and communities.

To learn more about Kroll, visit: www.kroll.com.