...Courts Validate Leveraged Double Luxco: The decisions in June 2015 by Luxembourg and French courts in a case concerning GPA Courtepaille appear to validate the efficacy of the Double Luxco structure for leveraged loan creditors to French debtors. The decisions mean Courtepaille's lenders successfully avoided the attempt by shareholders to block enforcement on security, although some judgements in appeal remain outstanding. French Double Luxco Declining: Despite the success of the Double Luxco structure, first introduced in 2010, the proportion of French borrowers using Luxembourg-incorporated parent holding companies is declining. The high-cost structure has succumbed to borrower bargaining power since 2013 due to investor demand outstripping loan supply. Double Luxcos became commonplace after the global financial crisis as a way to improve lender enforcement on security and protect against debtor-friendly "Sauvegarde" proceedings, which imply lengthy processes and legal stays on payments,...
