Golden Key reaches partial agreement with creditors

By Elena Moya

LONDON, April 15 (Reuters) - Accountancy firm Deloitte [DLTE.UL], receiver of Golden Key, said on Tuesday night it had reached an initial agreement with creditors of the failed structured investment vehicle (SIV).

The restructuring agreement, reached with Goldman Sachs, the U.S. investment bank advising Golden Key creditors, includes plans to sell the entire investment portfolio held by the company, Deloitte said.

The restructuring contemplates senior creditors electing one of three options: to receive or retain cash; to receive zero coupon notes; or to receive pass through notes in a new vehicle, Deloitte said.

"The joint receivers are delighted with the great progress being made towards a Golden Key restructuring," said Mark Adams, one of the Deloitte administrators.

SIVs are disappearing as an investment option as their model of raising short-term debt to invest in longer-term securities has been caught by the global liquidity squeeze, leaving them with little funding. The value of their assets, including U.S. subprime loans, has also plunged.

Deloitte said it had been appointed receiver to Golden Key on April 14. (Editing by Sue Thomas)