Headlines

Gayle Dunne, wife of bankrupt developer Seán Dunne, is asking the High Court to halt proceedings brought against her here over the transfer of South African properties between the couple, the Irish Times reported. The case relates to Mr Dunne’s 2013 bankruptcy adjudications in both Ireland and the United States, Chris Lehane, the official in charge of Mr Dunne’s Irish bankruptcy, has brought proceedings over the alleged fraudulent transfer of assets in South Africa and Ireland between Mr and Ms Dunne.

Australian fashion brand Metalicus has entered voluntary administration and will today begin a major sale across all of its outlets, SmartCompany.com.au reported. In an email to customers on Wednesday evening, the company acknowledged the “difficult period for our staff and customers”, as it explained plans to launch a sale event at all of its flagship stores, Myer concession outlets and online, starting Friday. Metalicus said the sale event will involve “significant savings on all pieces”.

China credit spreads hit their widest level in nearly two years this week following new regulations that undermined long-held assumptions about implicit guarantees on debt linked to local governments, the Financial Times reported. Chinese localities have long used arm’s length local government financing vehicles (LGFVs) to skirt restrictions on direct fiscal borrowing and to finance infrastructure, contributing to a surge in economy-wide debt since 2008.

Brazilian development bank BNDES is in talks with four companies interested in acquiring the operation of Viracopos airport, the bank’s chief executive officer said on Tuesday. Viracopos’ operator filed for bankruptcy protection on Monday and CEO Dyogo Oliveira said the bank will try to find a solution before the courts decide on the reorganization, Reuters reported. According to Oliveira, European and Asian companies are interested in operating the airport.

Count Argentina’s smaller companies among the victims of the three surprise interest-rate increases that are rippling through the economy, according to Federico Mac Dougall of First Corporate Finance Advisors SA, Bloomberg News reported. Mac Dougall, the Buenos Aires-based firm’s head of restructuring, said the number of distressed companies seeking his advice has tripled this year, pushing it to levels he hasn’t seen since 2003 following Argentina’s sovereign default.

Indian tycoon Vijay Mallya lost a U.K. lawsuit filed by Indian banks seeking to collect more than 1.15 billion pounds ($1.55 billion) amid allegations that he committed massive fraud. Judge Andrew Henshaw in London Tuesday said the lenders, including IDBI Bank Ltd., can enforce an Indian court ruling that relates to allegations that Mallya willfully defaulted on about $1.4 billion in debt for his now-defunct Kingfisher Airlines Ltd, Bloomberg News reported. Henshaw also refused to overturn a worldwide order freezing Mallya’s assets. The 62-year-old is fighting numerous lawsuits in the U.K.

Argentina asked the International Monetary Fund for financing to help stem a five-month-rout in the peso that is sparking a surge in interest rates and threatening to derail the country’s economic recovery, Bloomberg News reported. “This will allow us to face the new global scenario and avoid a crisis like the ones we have faced before in our history," President Mauricio Macri said in a televised address Tuesday. The president didn’t state how much money was being requested but a person with direct knowledge of the talks said officials are seeking a flexible credit line worth $30 billion.

Restaurant chain Côte is reportedly looking into closing branches in a move to shore up its finances, the Financial Times reported. Sky News reported that Côte, which is owned by private equity group BC Partners, is planning to close a number of branches that trade under the Limeyard and Jackson & Rye brands. However, the closures are unlikely to come as part of a company voluntary agreement, a deal with creditors that a string of distressed high street retailers have already resorted to this year — including Jamie’s Italian and burger chain Byron — in order to avoid insolvency.

Italian assets are being hit by a brisk sell-off, with the growing prospect of a second general election within months leaving Milan stocks looking distinctly out of fashion with investors and the country’s bond yields rising, the Financial Times reported. Italy’s main stocks benchmark, the FTSE Mib, is down 2.2 per cent, a significantly sharper fall than the 0.2 per cent slip on the Europe-wide Stoxx 600. Financial stocks are taking the biggest toll on the Milan index. UniCredit is down by more than 3 per cent, with Intesa Sanpaolo weaker by almost 2 per cent.

Household spending in Japan shrank for the second straight month in March, adding to the case that private consumption may have contracted in the first quarter, the Financial Times reported. Spending fell 0.7 per cent year on year in the third month of 2018, with growth of 0.1 per cent in February revised to a fall of 0.9 per cent. The latest reading also ran counter to expectations, with a median estimate from economists polled by Reuters predicting a rise of 1.1 per cent.