23 May, 2016, 12:00 am
SAN JUAN – Hedge funds who own debt at Puerto Rico’s Government Development Bank are accusing the bank and the island’s governor of giving preferential treatment to local creditors under a law designed to restructure GDB’s debt, signalling a breakdown in a tentative restructuring deal the sides reached earlier this month. A bondholder group that includes hedge funds Brigade, Claren Road and Fir Tree updated an existing lawsuit against the bank and Governor Alejandro Garcia Padilla late Friday, saying new amendments to a fiscal emergency law passed in April would protect local creditors over non-resident bondholders.
NEW ZEALAND – Ryman Healthcare, the country’s biggest retirement village operator, has reported a record profit on strong demand and rises in property values. Net profit jumped 26 per cent to $305 million in the year to March, compared with the previous year. The firm’s underlying profit, which excludes changes in property values, rose 16 per cent to $158m. Ryman chair David Kerr said the result was lifted by record levels of demand and the buoyant housing market.
SENDAI, JAPAN – The US issued a fresh warning to Japan against intervening in currency markets on Saturday as the two countries’ differences over foreign exchange overshadowed a Group of 7 finance leaders’ gathering in the Asian nation. Japan and the US are at logger-heads over currency policy with Washington saying Tokyo has no justification to intervene in the market to stem yen gains, given the currency’s moves remain “orderly”.