The economic court of Kiev following the meeting on March 28, fully satisfied the claim of THEO Worldwide Corp to PrivatBank (Kiev) and associated UK SPV Credit Finance (UK) for the recovery of $663 thousand in debt issued by British structure of Eurobonds.
About it to Agency “Interfax-Ukraine” said a source.
According to him, the details of the court decision are not subject to disclosure due to the presence of a non-disclosure agreement information.
According to the Unified registry of court decisions, THEO Worldwide Corp in the first half of 2017 filed a lawsuit in Kyiv Economic court to PrivatBank and UK SPV Credit Finance. Other persons on the side of the defendant are the Ministry of Finance of Ukraine, the Deposit guarantee Fund of individuals ‘ deposits, the national Bank of Ukraine, on the side of the plaintiff GLAS Trust Corporation Limited and the Trustee for the Eurobond Deutsche Trustee Company Limited and Madison Pacific Trust Limited .
The plaintiff appealed to the court demanding to declare invalid the procedure for the exchange of Eurobonds for additional shares issued (bail-in) while nationalization of financial institutions and to recover from PrivatBank $663 thousand debt he owned securities.
As reported, in the framework of the nationalization of the PrivatBank’s obligation to a specially created British company (SPV) issuing of Eurobonds – have been subject to the procedure of bail-in and were exchanged for shares of the additional issue of the Bank.
We are talking about three issues of Eurobonds: at $175 million at a rate 10,875%, maturing February 28, 2018, $200 million at a rate of 10.25% maturing on 23 January 2018, of which $40 million was repaid in August 2016 and $220 million at a rate of 11% (bonds and subordinated debt), maturing in 2021.
The Issuer of Eurobonds maturing in January and February of 2018 was made in the UK a special company (special purpose vehicle, SPV) UK SPV Credit Finance plc. Eurobonds maturing in 2021 were issued through ICBC Standard Bank Plc (Velikobritanija), however, during restructuring this debt was re-issued on UK SPV Credit Finance plc.
After the nationalization of PrivatBank company-Issuer of securities left in his possession.
In early October, 2017 PrivatBank changed the Trustee for the bonds for $175 million maturing on 28 February 2018 and $200 million maturing on 23 January 2018. From 3 October 2017 with a new principal acts Madison Pacific Trust Limited is Deutsche Trustee Company Limited (UK).
In turn, the national Bank of Ukraine on 27 October 2017 agreed to change the structure of the banking group PrivatBank. Its membership excluded SIA “PrivatLizings” (Latvia), JSC “Privation” (the Dnieper), UK SPV Credit Finance PLC’s and Ukraine Mortgage Loan Finance NO.1 PLC (UK).
Madison Pacific Trust Limited on 2 November informed the Bank on early recovery of arrears of Eurobonds.
In addition, on 8 November Madison Pacific Trust Limited and UK SPV Credit Finance plc has applied to the London court of arbitration to initiate arbitration proceedings.