BIB appoints advisor for $460 million credit negotiations
Bahrain International Bank (BIB) has appointed Credit Suisse First Boston (CSFB) to assist it with its creditor negotiations. The Bank is in the process of renegotiating the repayment terms of around $460 million of creditor obligations following recently reported liquidity pressures.
BIB has requested a standstill agreement from all its short-term lenders and depositors for a period of 90 days to allow it time to achieve a comprehensive agreement with all its creditors. CSFB will advise the Bank on a comprehensive asset sale program, proceeds of which will be used exclusively to repay its various creditor groups.
At the same time, the Bank has also appointed Norton Rose as its International Legal Counsel who will advise BIB on various creditor issues leading up to an intended all-creditors agreement.
A meeting was held in Bahrain between the Bank's management, its advisers and the majority of BIB's short-term lenders and depositors. At that meeting, the Bank's Chief Executive, Robin McIlvenny and the Bank's senior management updated the creditors on BIB's immediate plans and sought to obtain agreement from them to the standstill arrangements. — (menareport.com)
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