Financial restructuring refers to the process of reorganizing a company's financial obligations and structure in order to improve its financial stability or operational efficiency. This can involve various strategies and actions aimed at managing debt, reducing costs, optimizing capital structure, or changing ownership. Here are some common aspects and strategies involved in financial restructuring:

1. Debt Restructuring: This involves renegotiating the terms of existing debt obligations, such as extending maturity dates, reducing interest rates, or exchanging debt for equity.

2. Operational Restructuring: Focusing on improving the operational efficiency of the business to enhance profitability and cash flow. This may involve streamlining processes, reducing overhead costs, or divesting non-core assets.

3. Capital Restructuring: Adjusting the company's capital structure by issuing new equity, repurchasing shares, or restructuring ownership to improve financial flexibility and reduce financial risk.

4. Bankruptcy and Insolvency Proceedings: In extreme cases where a company is unable to meet its financial obligations, it may undergo bankruptcy proceedings, which could involve restructuring debts under court supervision or liquidating assets to repay creditors.

5. Turnaround Management: Implementing strategic changes under new management to reverse a company's decline and restore profitability. This often includes a comprehensive restructuring plan that addresses both financial and operational challenges.

6. Legal and Regulatory Compliance: Ensuring that the restructuring process complies with relevant legal and regulatory requirements, which can vary significantly depending on the jurisdiction and type of restructuring.

7. Communication and Stakeholder Management: Effectively communicating with stakeholders, including creditors, investors, employees, and suppliers, to maintain trust and support during the restructuring process.

Overall, financial restructuring is a complex and often challenging process that aims to improve a company's financial health and position it for long-term success. It requires careful planning, analysis, and execution to achieve its objectives while navigating potential legal, financial, and operational hurdles.