Hedge Fund Files Ch. 11 Against Cellular Company

Law360, New York (July 17, 2006, 12:00 AM EDT) -- A hedge fund has filed an involuntary Chapter 11 petition against Mexican cellular operator Grupo Iusacell Celular SA de CV, in an attempt to thwart the company’s debt restructuring and negotiate a better deal.

Gramercy Emerging Markets Fund, which holds about $56 million of the company’s overdue bonds, believes the company’s restructuring proposal shows a preference for the company’s lenders over its bondholders.

Iusacell Celular, a subsidiary of Grupo Iusacell SA de CV, plans to exchange $190 million in bank debt for $190 million in new...
To view the full article, register now.

Law360 UK

UK Financial Services

Read Our Latest UK Legal News & Analysis

Financial Services Law360 UK and Insurance Law360 UK provide breaking news and in-depth analysis on U.K. and European Union regulation, enforcement, legislation, and litigation involving banks, investment firms, insurers, and more.