By Susanna Rust2021-01-19T13:41:00+00:00 EU authorities should work with the private sector to develop a common EU-level hybrid instrument to help companies overcome the remaining challenges of the coronavirus crisis, according to pan-European trade association AFME. In a report produced with PwC, the association said the current low number of insolvencies in the EU belied the fragile health of EU corporates, and that equity recapitalisation was needed to support long-term economic recovery. It recommended the development of a new hybrid instrument, such as a preferred shared instrument, to cater for mid-caps and SMEs that do not have access to capital markets.