By Ivan Anderzhanov in Moscow
The beleaguered bank BTA anounced today it had signed a memorandum of understanding (MOU) with its creditors’ steering committee, in a major step towards talks to restructure the Kazakh state bank’s $10bn in debt.
The MOU was developed following meetings that took place in London between BTA’s adviser and the steering committee from September 14 – 17.
The MOU is non-binding on any financial creditor and the restructuring will be subject to certain conditions precedent,” according to a statement by BTA.
BTA has outlined four restructuring options to its creditors, including a worse-than-expected 82.25% haircut for a cash buyback. Once a final restructuring plan has been agreed with shareholders, the bank sid a decision would be made on BTA’s possible sale to Russian state lender Sberbank.
