restructure

play
verb re·struc·ture \(ˌ)rē-ˈstrək-chər\
Updated on: 26 Jul 2017

Definition of restructure

  1. transitive verb
  2. :  to change the makeup, organization, or pattern of

  3. intransitive verb
  4. :  to restructure something

Examples of restructure in a Sentence

  1. You should restructure this sentence to make its meaning clearer.

  2. The college is restructuring its Humanities Department.

Recent Examples of restructure from the Web

These example sentences are selected automatically from various online news sources to reflect current usage of the word 'restructure.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.

First Known Use of restructure

1932


Financial Definition of RESTRUCTURE

restructure

What It Is

Restructure, or restructuring, refers to the management process of reorganizing a company to make it more profitable.

How It Works

During a major transition, a buyout or a bankruptcy, for example, the management may consider restructuring a company.  A restructuring may include a variety of measures to eliminate diseconomies of scale, such as reorganizing and streamlining the management and operations, integrating management teams from the buyers or new owners or spinning-off, closing, or streamlining various operating units within the company.  It may also include a debt restructuring, involving renegotiating loan terms, conditions, and covenants that may be onerous or leave no room in the company's cash flows.  A related example might be a financial restructuring which may involve a repositioning of equity within the company, such as purchasing outstanding shares, creating new classes of stock, or going public or even "going private."

Restructuring usually involves new management, new capital, and a new opportunity to rethink the business organization and plan. A successful restructuring will usually result in a higher valuation of the company.

Why It Matters

A restructured company, at least theoretically, is more focused, more efficient and more profitable.  However, a restructuring may affect and even dilute the stock values of the current stockholders of a company.


RESTRUCTURE Defined for English Language Learners

restructure

play
verb

Definition of restructure for English Language Learners

  • : to change the basic organization or structure of (something)


Law Dictionary

restructure

play
verb re·struc·ture \ˌrē-ˈstrək-chər\

Legal Definition of restructure

restructured

restructuring

  1. transitive verb
  2. :  to change the makeup, organization, or pattern of restructure a corporation companies trying to restructure their debt — Claudia MacLachlan
  3. intransitive verb
  4. :  to restructure something



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