Business & Finance
Vestel Offers 45% Haircut or Six-Year Extension on 2029 Bonds
Key Points
Bonds Vestel Offers 45% Haircut or Six-Year Extension on 2029 Bonds Beleaguered Turkish white-goods maker Vestel Elektronik is asking holders of its 2029 bonds to back a restructuring under which they can choose to take a 45% haircut or extend the debt by six years. Under the offer launched on Tuesday, eligible bondholders would be able to swap up to $250 million of the $500 million outstanding notes for new 2032 securities carrying a 6% coupon, worth 55 cents on the dollar. Alternatively,...
Bonds
Vestel Offers 45% Haircut or Six-Year Extension on 2029 Bonds
Beleaguered Turkish white-goods maker Vestel Elektronik is asking holders of its 2029 bonds to back a restructuring under which they can choose to take a 45% haircut or extend the debt by six years.
Under the offer launched on Tuesday, eligible bondholders would be able to swap up to $250 million of the $500 million outstanding notes for new 2032 securities carrying a 6% coupon, worth 55 cents on the dollar. Alternatively, they can chose to retain the full principle due on notes that will mature in 2035, with the interest on the securities cut to 4%.