Argentina to offer investors option to sell back GDP warrants

martes 28 de junio de 2016 11:59 GYT

By Paul Kilby

NEW YORK, June 28 (IFR) - Argentina plans to offer options to investors to retire GDP warrants - a move that could save the South American country some US$9.4bn, the Finance Ministry said on Tuesday.

The structure gives investors the option to sell the instruments to the government, which in turn also could decide to offer to buy back the securities.

The European style options, which were issued as part of the 2005 and 2010 exchanges, are expected to be exercisable in December.

The US dollar warrants issued in 2005 and 2010 can be sold back at 10.25 and 10.00 respectively, while euro and the peso denominated instruments have a sell-back price of 10.00.

The government meanwhile has the option to buy back the 2005 US dollar warrants at 12.00 and the other securities at 11.75. (Reporting By Paul Kilby; editing by Shankar Ramakrishnan)