Citgo creditors attack Elliott bid in auction, seeking rival offers
Creditors of the company said that the key terms of an agreement proposed by a U.S. court with a hedge fund to control Venezuelan oil refiner Citgo Petroleum would lock in its low-ball offer. The reaction to Elliott Investment Management’s Amber Energy, a wholly owned company by Elliott Investment Management, has ended any hope of changing Citgo's ownership this year to satisfy Venezuela's debt defaults or expropriation.
Citgo auction at risk as Venezuelan bondholders file parallel claims
Holders of billions in Venezuelan bonds, notes and other securities have emerged in the last minute as protagonists in an American court case that will decide ownership of oil refiner Citgo Petroleum. They threaten to derail a compensation auction for more than a dozen firms to compensate them for unpaid debts or expropriations. Two groups of holders have taken their cases to other U.S. court to enforce them…
U.S. Court to Decide Who Will Control Citgo
A U.S. court will decide whether a board of directors appointed by Venezuelan President Nicolas Maduro or one backed by his rival, opposition leader Juan Guaido, runs the eighth-largest U.S. refiner, Citgo Petroleum Corp.A lawsuit filed by Maduro's representatives on Tuesday in Delaware Chancery Court seeks to reassert control over Citgo , along with other U.S. subsidiaries of PDVSA , the Venezuelan state-run oil company.Citgo…
Citgo Loans Price in Potential Regime Change
The bank debt of oil refiner Citgo Petroleum Corp, US subsidiary of Petróleos de Venezuela SA (PDVSA), has been volatile in recent days as Venezuela’s political crisis deepens and the market prices in a potential regime change in the South American nation.The company’s US$650m term loan B jumped in secondary trading this week, according to a trader monitoring the debt, after the Houston-headquartered…
CITGO Formally Cuts Ties with PDVSA
U.S. refiner Citgo Petroleum Corp is formally cutting ties with its parent, state-run oil firm Petroleos de Venezuela SA, to meet U.S. sanctions imposed on the OPEC country, two people close to the decision told Reuters on Tuesday.Executives at the Houston-based firm set a Feb. 26 deadline to end relationships with PDVSA following sanctions designed to curb oil revenues to socialist President…
Citgo's New Board Arrives, to Hold First Meeting
A board of directors appointed this month by Venezuela's opposition-controlled congress to run state-owned oil firm PDVSA's U.S. unit Citgo Petroleum on Thursday was arranging its first meeting at the company's headquarters, according with two people familiar with the matter.Venezuela's National Assembly, led by opposition leader and self-proclaimed president Juan Guaido, last week appointed new boards for PDVSA and subsidiaries PDV Holding…
PDVSA Again Extends Bond Swap Deadline
Venezuelan state oil company PDVSA said on Wednesday night it was again extending a deadline for a bond swap to Oct. 17 from Oct. 12. The cash-strapped company had already extended the first deadline earlier this month and said that bondholder participation was below a key threshold. PDVSA last month offered to swap $7.1 billion in outstanding issues for a new bond, backed by its U.S. subsidiary Citgo Holding Inc, to boost its cash-strapped coffers.
ConocoPhillips sues Venezuela's PDVSA
Subsidiaries of U.S. oil company ConocoPhillips has sued Venezuelan state oil company PDVSA in a Delaware court, according to a court filing, accusing it of fraudulent operations involving its U.S. subsidiary Citgo. ConocoPhillips said PDVSA operations, including an ongoing bond swap that uses shares in Citgo Holding Inc as collateral, are part of an effort to prevent Conoco from collecting compensation in a dispute over a 2007 nationalization of its Venezuela holdings.
PDVSA Extends Early Bond Swap Deadline
Venezuelan state oil company PDVSA said on Thursday night it was extending the first deadline for a bond swap to Oct. 12 from Oct. 6, adding that offers it had received were below a key limit required for the operation. "The consummation of the Exchange Offers is conditioned upon, among other things, the valid tender of at least 50% of the aggregate principal amount of the Existing Notes," PDVSA said in an English-language statement.
PDVSA Sweetens Bond Swap Terms as Market Balks
Venezuelan state oil company PDVSA on Monday sweetened the terms of a bond swap proposal that had drawn market skepticism, offering more 2020 bonds in exchange for bonds maturing in 2017, part of an effort to improve the company's cash-flow situation. PDVSA this month offered to swap $7.1 billion in outstanding issues for a new bond, backed by its U.S. subsidiary Citgo Holding Inc, at a one-to-one ratio, which some bondholders described as unattractive.
Citgo Amends $2.5b Deal to Attract Investors
Venezuela's U.S. oil refiner Citgo Holding has restructured and raised the yield on a proposed $2.5 billion financing package following lacklustre investor demand, a source familiar with the deal said on Friday. The company plans to use proceeds to pay a dividend to state-owned oil company PDVSA. The oil company has raised the yield on the $1.5 billion offering to 12 percent area, and pledged 100 percent of the operating company equity as collateral, the source told IFR.
Venezuela Eyes Double-digit Yield on Citgo Debt Sale
Venezuela's US oil-refining unit Citgo will probably have to pay double-digit yields to lure investors into a US$2.5bn financing package aimed at pumping new cash into its state-owned parent PDVSA. With some US$10bn in debt payments due this year, cash-strapped Venezuela is pledging some of its most valuable assets abroad to raise new cash, as it fends off default worries amid a steep slide in crude oil prices.
