Friday, 19 December 2014
Last updated 7 hours ago
Oct 7 2010 | 1:05pm ET
New York-based hedge fund QVT Financial is back in court, suing a Commerzbank unit over profit-dependent securities.
The hedge fund alleges that Eurohypo, Commerzbank’s property-lending unit, failed to pay $68 million due on the $1.2 billion in profit-dependent securities issued by two Eurohypo trusts. Eurohypo argues that it took a loss on the securities and therefore doesn’t have to pay.
Au contraire, retorts QVT. Commerzbank agreed to compensate the unit for losses, so it should pay up anyway.
“Having reaped the benefits associated with raising capital from U.S. investors, the defendants now are unwilling to live up to their obligations,” QVT alleged in its lawsuit, filed in Delaware state court.
QVT said, “as payments are due on participation securities issued by Eurohypo AG, Eurohypo is contractually required to make payments to the trusts and on the trust securities.”
Dec 1 2014 | 10:21am ET
As 2014 winds down, Northern Trust Hedge Fund Services executives took some time to share their outlook on trends facing the industry in 2015. Read more…
Jeff Sprecher was simply looking for a platform to trade energies when launching ICE 14 years ago but it has grown to reach the pinnacle of both the listed futures and equities world.