Creditors Of Former Cheyne SIV Consider Refinancing Plan

Nov 28 2007 | 8:41am ET

Creditors of a structured investment vehicle formerly run by a British hedge fund are considering a restructuring plan that could save them from huge losses.

The Wall Street Journal reports that under a proposed deal, senior creditors would be able to choose to either refinance their debt or take a steeply discounted pay-out. The assets of the $7 billion SIV, run by Cheyne Capital Management until it went into receivership on Sept. 5, would then be transferred to a new, longer-term vehicle, buying creditors time to sell the portfolio, which has been wracked by the sinking credit market.

Another option for the former Cheyne Finance, now known as SIV Portfolio and run by receiver Deloitte & Touche, is to seek a buyer for its portfolio. But talks with potential buyers have been stymied by the continuing freefall in the value of the SIV’s assets.


In Depth

Q&A: Rotation Capital's Rothfleisch On SPAC 2.0

Aug 11 2017 | 7:43pm ET

Corporate actions have long been a staple of event-driven investors, but activity...

Lifestyle

CFA Institute To Add Computer Science To Exam Curriculum

May 24 2017 | 9:25pm ET

Starting in 2019, financial industry executives sitting for the coveted Chartered...

Guest Contributor

Star Mountain: Private Lending in the Lower Middle-Market

Aug 14 2017 | 4:45pm ET

Private credit has become one of the most popular alternative asset classes in recent...

 

From the current issue of