Argentine DefaultArgentina’s dollar bonds sank after the country missed a payment on $13 billion of its debt as JPMorgan Chase & Co. and other banks sought a deal that would allow the country to resume servicing its securities.
A group of international investment banks met with Elliott Management Corp. and other so-called holdout creditors to buy the securities they hold from the country’s 2001 default, according to a bank official familiar with the matter, who asked not to be identified because the information is private.
The official said talks would continue. Buenos Aires-based newspaper Ambito reported that a deal on the amount was reached.The nation missed a deadline yesterday to pay $539 million in interest after two days of negotiations in New York failed to produce a settlement with Elliott and other hedge funds that won a court order for full repayment on the securities they own. The ruling prevents Argentina from servicing its debt until the holdouts settle or are paid the $1.5 billion judgment.
Photographers: Diego Levy, Peter Foley/Bloomberg
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