RESTRUCTURING ANALYSIS
Raízen's $12.6 Billion Gamble:
A Sustainability Verdict
Brazil's largest-ever out-of-court restructuring carries genuine promise - and equally genuine risk. A four-pillar analysis of what works, what worries, and what the market is missing.
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When Brazil's Raízen announced a restructuring covering BRL 65.1 billion (approximately $12.6 billion) in debt obligations on 11 March 2026, it made history - not just for the size, but for the mechanism. This is Latin America's largest out-of-court debt reorganisation on record. It deserves more than a headline. It deserves a structured examination.
At Migel Capital, we evaluate every restructuring case through four sustainability criteria: avoidance of bankruptcy, improvement of financial and operational performance, consistency with best practices, and the involvement of independent external advisors. Raízen scores well on some pillars - but not all. The story, as ever, lies in the detail.
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