Praktiker bondholders eye debt for equity swap
FRANKFURT, July 18
FRANKFURT, July 18 (Reuters) - Hedge funds holding bonds in insolvent German DIY retailer Praktiker want to convert a 250 million euro ($327 million) bond into Praktiker shares, their representative said on Thursday.
That means the bondholders are effectively targeting a takeover of the group.
"There's a group of four or five investors coming together," Ingo Scholz, the representative of the bond holders, told Reuters on Thursday. "They are prepared to help the group out of its crisis."
Praktiker filed for insolvency last week after talks with creditors failed, triggering fears of heavy job losses. The insolvency administrators are continuing to keep the business running whilst they review options for a restructuring of the chain, a household name in Germany. ($1 = 0.7637 euros) (Reporting by Alexander Huebner; Writing by Victoria Bryan)
- Air strike kills 15 civilians in Yemen by mistake: officials
- North Korea executes leader's powerful uncle in rare public purge |
- Two injured after student opens fire at Colorado high school
- Insight: In Yemen, al Qaeda gains sympathy amid U.S. drone strikes
- Storm to cloak Midwest to Northeast in snow, freezing rain