Credit Suisse bondholders are seeking legal advice after the Swiss regulator ordered 16 billion Swiss francs ($17.5 billion) of Additional Tier-1 (AT1) debt to be wiped out under its rescue takeover by UBS .
Samuel Norris, special situations partner at law firm Ropes & Gray in London, said he had been instructed by a number of hedge funds interested in trading the debt on the back of litigation news.
The owner of a Hong Kong-based distressed debt fund said he had been approached by U.S. law firms, but was not interested. Hong Kong, Singapore, the European Union and Britain all said this week they would stick to the traditional hierarchy of creditors claims in the event of a bank collapse.in March 2020 after the Reserve Bank of India initiated a restructuring of the lender is currently subject to court proceedings.
Lawyers, bondholders and banking analysts have been poring over the bond documentation to see if it allowed for the wipe-out.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Credit Suisse rescue: Here's what you need to know about AT1 bondsCredit Suisse's rescue had a sting in its tail for the banking crisis. Here's what you need to know about AT1 bonds.
Read more »
Swiss regulator says central bank loan to Credit Suisse justified AT1 bond writedown
Read more »
Anxious Credit Suisse staff flood recruiters amid UBS sale: reportRecruiters worldwide are inundated with calls from anxious Credit Suisse bankers seeking new jobs amid the UBS takeover, report says
Read more »
Switzerland curbs bonus payouts at Credit SuisseSwiss authorities imposed curbs on bonus payments for Credit Suisse employees, a move that will penalise bankers after a multi-billion-franc state rescue of the bank.
Read more »
Hedge fund boss Jeff Gundlach shreds Credit Suisse creditors: ‘Put on your big boy pants’Gundlach said disgruntled Credit Suisse bondholders should ‘look in the mirror.’
Read more »
UBS set for talks with Michael Klein to terminate Credit Suisse investment bank deal - FTUBS is set to enter talks with Michael Klein to terminate a deal that would have seen the Wall Street dealmaker take control of much of Credit Suisse's investment bank, the Financial Times reported on Tuesday.
Read more »