Debt custody is an agreement reached by policy intermediaries with debtors or creditors to transfer their debts or claims for compensation in accordance with market principles and with the support of relevant policies, which is managed by policy intermediaries in accordance with commercial law.
The so-called policy intermediary organization is an operating organization that can be supported by relevant state policies and relevant state departments. This kind of operating organization should not only have policy advantages, but also have talent advantages and capital advantages. There are two main operating modes of policy intermediaries, one is debt-to-equity swap, the other is pure debt custody operation, and its operating mode is equivalent to debt recovery company.
Relevant policies of debt entrustment
1. Allow custody enterprises to screen highly indebted enterprises. Enterprises that have certain market prospects for their products, but have bad debts due to poor national policies or management, can conduct debt custody.
2. Commit to reform the debt custody enterprise and participate in its governance, so that it can establish a new mechanism as soon as possible and establish a new market concept and governance concept. The state should give some policy support to the restructuring costs of these enterprises.
3. Allow the custodian to conduct capital operation. This is mainly manifested in the following aspects: first, the capital market should be opened accordingly, allowing the custodian to transfer its equity and realize capital realization; The second is to promise to issue special bonds and use the funds raised by curtains for asset restructuring, project investment, shareholding holding and equity transfer; Third, or issuing special funds, the custodian institution can develop into a professional fund manager and operate professional funds.