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Related: About this forumArgentina Agrees to Pay Vulture Funds an Extra $253 Million
Argentina Agrees to Pay Vulture Funds an Extra $253 Million
Published 11 April 2016
Argentina will now issue US$12.5 billion in new bonds to pay US$8 billion to holdout creditors that rejected debt restructuring.
Argentina reached agreements with 80 percent of holdout bondholders worth US$253 million and is now waiting on a U.S. court decision to pave the way for the payments, set to end a more than decade-long dispute with predatory lenders known as vulture funds over the countrys debt crisis, the Argentine daily La Nacion reported Monday.
After over three months of negotiations with vulture funds, reopened after President Mauricio Macri came to office, the agreements in principle were reached late last week, bringing the total amount of settled claims to about US$8 billion.
Argentina is now waiting for a U.S. court of appeals to uphold the lifting of injunctions this week that have held the countrys creditors hostage in favor of vulture funds that opted to holdout.
The injunctions, handed down by U.S. District Judge Thomas Griesa in 2012, blocked Argentina from paying the 93 percent of its debt that was restructured and from accessing global capital markets.
More:
http://www.telesurtv.net/english/news/Argentina-Agrees-to-Pay-Vulture-Funds-an-Extra-253-Million---20160411-0027.html
Travis_0004
(5,417 posts)Expecting Argentina to pay its debts.
Also,these funds are not predatory lenders. They never paid a dime to Argentina. They bought the bonds off other bondholders.
What they paid for the bonds is largely irrelevant. Argentina took out a loan and agreed to repay it. I fail to see the problem with people wanting to be paid (most) of what they are due.
Judi Lynn
(160,545 posts)No reason to bother, is there?
Travis_0004
(5,417 posts)Zorro
(15,740 posts)Real education or experience doesn't count.
Judi Lynn
(160,545 posts)Mon Apr 11, 2016 12:44pm EDT
Holdout creditors to be paid first from new Argentina bond
By Davide Scigliuzzo
NEW YORK, April 11 (IFR) - The hedge funds that waged a 15-year battle to force Argentina to make a bigger payout on its defaulted bonds will get first dibs on the proceeds from the country's new bond next week.
In an arrangement both unusual and unusually complicated, the sovereign will pay off its litigant creditors first when it sells the new bond, which is expected to price on April 18.
Making them whole will pave the way for the remainder of the proceeds from the bond to be used, according to an offering memorandum seen by IFR on Monday. (Reporting by Davide Scigliuzzo; Editing by Paul Kilby and Marc Carnegie)
http://www.reuters.com/article/argentina-debt-offering-idUSL2N17E14S?rpc=401
(Short article, no more at link.)