Cos can look at voluntary insolvency process to increase productivity, maximise value: IBBI chief

The Insolvency and Bankruptcy Board of India (IBBI) has recommended that companies explore voluntary insolvency proceedings to increase productivity and maximize value. This approach is aimed at companies that are struggling with financial distress but are seeking a structured way to improve their operations and unlock value. Voluntary insolvency allows companies to renegotiate debts, restructure operations, and return to profitability without the pressures of forced liquidation. The IBBI's suggestion encourages businesses to take proactive steps in managing financial challenges, ultimately contributing to a more resilient and sustainable economy by offering an alternative to bankruptcy.