Argentina debt outperforms on holdout offer
By Paul Kilby
NEW YORK, Feb 8 (IFR) - Argentina bonds outperformed on Monday after two of six holdout investors agreed to a government offer last week to pay a total US$6.5bn to them.
Discounts and pars were up about half a point Monday afternoon at 117.00-118.00 and 64.50-65.00, respectively, after Dart Management and Montreaux Equity Partners - signed up to the government's proposal.
Daniel Pollack, the special master presiding over the negotiations, said it "stood solidly behind the deal," praising President Macri for addressing this "long-festering problem."
US Jack Lew also reportedly chimed in over the weekend, voicing his support of the Argentine government's efforts to cut a deal with holdout investors.
"All this points toward a fresh attitude on the side of important stakeholders and we think it can help Argentina's negotiating hand," Alejo Czerwonko, emerging markets economist at the chief investment office at UBS Wealth Management.
MORE WORK TO BE DONE
Yet while investors cheered progress on last week's arduous negotiations in New York between government officials and litigant investors, the country still faces an uphill battle as it works to bring other holdouts on board. Continuación...