Banking & Capital Markets – Sovereign Debt & Public Sector Finance Bankruptcy & Debt Restructure
Bruchou acted as advisor to Citigroup, as consent solicitation agent, in the restructuring of US$683 million principal amount of outstanding notes issued by the Province of Neuquén in the international capital markets.
The restructuring was structured through a very thorough consent solicitation exercise involving negotiations with ad hoc holders´ committees and its advisors.
The Province, a province of the Republic of Argentina, received consents from holders representing 87.12% of the aggregate principal amount of US$317 million of the 8.625% Secured Notes due on 2028, Series 1 (Tranches 1 and 2) (“TICADE Notes”) and 93.00% of the aggregate principal amount of US$366 million 7,500% Notes due on 2025, Series 1 (“TIDENEU Notes”, and jointly with the TICADE Notes, the “Eligible Notes”) to modify certain terms and conditions of such Eligible Notes (the “Consent Solicitations” and the “Proposed Amendments”, respectively).
The terms and conditions of the Consent Solicitations aimed to maintain the provincial public debt at sustainable levels, and involved, among other matters, the amendment of their respective indentures, as well as the amendment of the local collateral documents in the case of the TICADE Notes.
Citigroup Global Markets Inc. acted as consent solicitation agent, Morrow Sodali Ltd. acted as information and tabulation agent and Quantum Finanzas acted as financial advisor to the Province in connection with the Consent Solicitations.