Der Umtausch von Forderungen in Nennkapital

Debt to equity swaps are used with increasing frequency to avoid a company's insolvency. In German law, the exchange of debt into equity is considered to be a contribution in kind. This impairs the effects of debt to equity swaps as debt cannot be exchanged for its nominal value.
The author discusses whether latest legislative acts – particularly changes in the context of the law governing hidden contributions in kind – allow the exchange of debt for a higher value. This would increase the effectiveness of debt to equity swaps.