The court that had declared the bankruptcy of Correo Argentino SA, belonging to the family of ex-Argentine president Mauricio Macri (2015-2019), decided to provisionally suspend proceedings on Wednesday, after the company appealed the measure, the Rio Times reported. The ruling was issued by Commercial Court 6, headed by Judge Marta Cirulli who granted the appeal filed by Correo Argentino SA and and granted "suspensive force" of all proceedings arising from the bankruptcy.
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Brazilian telecom Oi SA said on Wednesday it had received the go-ahead from a court to sell a majority stake in its fiber optic business to funds managed by Banco BTG Pactual, Reuters reported. Oi, which filed for bankruptcy protection in 2016 and has since been selling assets to pay creditors, said the court had determined there were no other bids on the table. Oi in April accepted a 12.9 billion reais ($2.5 billion) offer for a 57.9% stake in its fiber optic business from BTG’s funds.
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The part owner of Chilean bank Itau Corpbanca on Thursday secured court approval in Delaware to fend off any potential creditor attempts to collect debts owed as it works to restructure in the U.S., Reuters reported. Corp Group Banking SA (CGB), represented by Simpson Thacher & Bartlett, filed for chapter 11 protection on June 25 to restructure nearly $2 billion in debt. That figure includes $500 million in bonds issued under New York law on which the company has defaulted. CGB, which is controlled by Chilean billionaire Alvaro Saieh, holds 26.2% of the bank’s common equity.
Petroleo Brasileiro SA raised about $2.3 billion through the sale of its remaining stake in Brazil’s largest fuel distributor in the biggest equity transaction in Latin America this year, Bloomberg reported. Petrobras, as the company is known, fully exited Petrobras Distribuidora SA in an offering that priced at 26 reais ($5.23) a piece, according to company filings. The sale is part of a broader plan from the oil giant to exit non-core businesses, cut debt and focus on deep-water projects. The downsizing is also part of the government’s strategy to divest state-run assets.
Bolivia’s government has arrested a former Treasury Ministry official as part of an investigation into a loan from the International Monetary Fund that was renounced by new President Luís Arce, the Associated Press reported. Former Vice Minister Carlos Schlink was arrested Tuesday as he was trying to leave the country, according to prosecutor Manuel Saavedra. Three former treasury ministers also are under investigation. Schlink served under former interim President Jeanine Áñez, who herself has been detained on charges of sedition.
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Corp Group Banking SA, a Chilean financial holding company controlled by billionaire Alvaro Saieh, filed for bankruptcy after the coronavirus pandemic sparked an economic slowdown that worsened fortunes in the banking sector, Bloomberg News reported. The Santiago-based company on Friday sought chapter 11 protection from creditors in the Bankruptcy Court for the District of Delaware. The move was expected after the company skipped an interest payment last year on $500 million of 6.75% notes due 2023 and didn’t cure it when a grace period expired Oct. 15.
Brazilian miner Samarco Mineracao SA, an iron ore joint venture between Vale SA e BHP Group Ltd, plans to raise $2 billion in fresh capital as part of its plan to exit bankruptcy protection, according to court documents, Reuters reported. Samarco plans to raise the fresh funds from investors through a competitive process roughly 30 days after a Brazilian judge approves its restructuring plan, which has yet to be discussed with creditors. The proceeds will fund its operations between 2022 and 2027.
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Argentina will make a partial payment to the group of wealthy government creditors known as the Paris Club of an outstanding debt of $2.4 billion, Bloomberg News reported. The club will spare Argentina from default in the understanding that the country can rework a $45 billion credit with the International Monetary Fund. The South American nation has used a 60-day grace period to try to reach an agreement with the group after failing to make the payment by May 31. Argentina’s global bonds due in 2030 pared an intra-day decline to trade at 37.23 cents on the dollar on the news.
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The paramount issue for Peru’s economy is a swift recovery from the mass destruction of jobs last year, while the widening fiscal deficit and recent inflation spike are both temporary, according to economists advising Pedro Castillo, the nation’s probable next president, Bloomberg News reported.
The International Monetary Fund privately estimates that a deal allowing Argentina to reschedule payments on $45 billion owed to the lender will be pushed into 2022 as President Alberto Fernandez has little incentive to quickly agree on the basis of a new program, Bloomberg News reported.
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