Argentina shows in conflict with US hedge funds to old sovereign debt for the first time in years serious compromise. The new government has the plaintive investors 6.5 billion dollars (5.8 billion euros), as ordered by the competent New York District Court mediator Daniel A. Pollack announced in the early hours of Saturday. He had met last week with senior officials from both sides and there were “enormous progress” has been made.
However, at first remained unclear how investors rate the offer. “We comment at this stage does not,” said a spokesman for the hedge fund Aurelius Capital. NML Capital of the empire of US billionaire Paul Singer, also a leading force in the process against Argentina, initially could not be reached for comment. In the offer, the creditor would have to more than a quarter of their original claims totaling more than nine billion dollars without. . According to the government, two of the six hedge funds have already agreed
Other creditors issued debt
background is a dispute with the two US hedge fund NML Capital and Aurelius. These had been bought by the state bankruptcy in late 2001 Argentine IOUs cheap and demanded the nominal value of government bonds. Unlike the plaintive US hedge funds 93 percent of the creditors of Argentina had agreed 2005 and 2010 an average debt in the period and waives up to 70 percent of their money.
The US District Judge Thomas Griesa ruled in 2014 against Argentina and decreed that the country needs to settle the debt before it can settle the claims of other private creditors. Consequently classified CRAs the country as technically insolvent one, the country’s creditworthiness further battered.
Ex-President Kirchner did not want to “vulture funds” negotiate
the previous government of President Cristina Kirchner, however, had to pay the sum demanded refused to hedge funds and refers to them as “vulture funds”. The Payment boycott the second largest economy in South America was after Griesa judgment but largely cut off from the international capital markets. The Since December incumbent government of the new Head of State Mauricio Macri had quickly signaled a willingness to compromise.
An agreement in parliament to push through will be difficult. Macri summoned both chambers of parliament a special meeting from 11 February, where discussed and voted on the offer. But Judge Griesa have a say even a word at a compromise. Argentina has the listing broker Pollack According to the under the condition that Griesa lifts the ban of debt service by other lenders.
No comments:
Post a Comment