(Repeats with no changes)
By Ana Mano
SAO PAULO, Sept 8 Investors planning a bid to
take over Brazil's bankrupt phone carrier Oi SA said
Thursday they can win over disgruntled creditors with a more
attractive debt repayment offer than the company's management
put forward early this week.
A group of potential bidders led by New York-based
investment boutique ACGM Inc and São Paulo-based turnaround firm
Íntegra Associados told Reuters their plan will include a
financial and an operational overhaul of Oi that would repay
lenders more of the company's debt faster and turn Oi around as
After creditors holding at least 40 percent of Oi's
unsecured debt rejected management's restructuring proposal soon
after it was presented on Monday, the group came forward and
told Reuters on Thursday it plans to present a counter proposal.
"One thing that distinguishes our proposal is that it is
both a financial and operational restructuring plan," Carlos
Abadi, founding partner of ACGM, said.
Renato Carvalho Franco, founding partner of Íntegra added:
"We understand the issues concerning both sides," the company's
shareholders and lenders.
ACGM and Íntegra represent about three dozen investors whom
they were not permitted to name. They did say the potential
investors included hedge funds, private equity firms and at
least one telephone carrier.
In Oi's plan, unsecured creditors faced a debt writedown of
22 billion reais ($6.8 billion), meaning a 70 percent haircut on
all such claims.
ACGM says its preliminary plan would offer a 60 percent
haircut on the nominal value of unsecured debt and shorter
repayment schedules for secured creditors such as Brazil's BNDES
The group, however, did not elaborate on its plan or the
timing of when it will be unveiled, which will be vital for
convincing the shareholders and lenders of Oi to let it take
over the company.
Abadi and Franco said they have been waiting to present
their plan until after Oi submitted its debt reorganization
Oi's plan to restructure about 65.4 billion reais of
liabilities was not well received by an ad hoc group of
bondholders, who accused the carrier of imposing unfair losses
on them while putting the interests of the shareholders first.
Any alternative plan will need company, creditor and court
approval before implementation. After bondholders with about 34
billion reais of unpaid debt, the government is Oi's largest
creditor with a combined 20 billion reais of claims.
($1 = 3.2149 Brazilian reais)
(Reporting by Ana Mano; Editing by Reese Ewing and Cynthia