SAO PAULO, July 27 (Reuters) – A Brazilian judge on Monday approved a bankruptcy restructuring plan for Odebrecht, a hit construction conglomerate that was the main equipment of a widespread corruption investigation known as “Car Wash Operation.”
The judge, in a decision seen by Reuters, approved the plan and rejected objections from creditors, including the state bank of BNDES, Itaú Unibanco, Banco Bradesco, Santander Brasil and Banco do Brasil.
Creditors in April approved a restructuring plan for most of the subsidiaries that formed Odebrecht. (Reporting by Aluisio Alves; Editing by Leslie Adler)
FILE PHOTOS: Aircraft from Virgin Australia sit on the runway at the Sydney Airport domestic terminal in Australia, 19 August 2018. Photos taken on 19 August 2018. REUTERS / David Gray / Photo File
SYDNEY (Reuters) – Virgin Australia Holdings Ltd (VAH.AX) The administrator said on Tuesday that they had chosen Bain Capital and Cyrus Capital Partners as the final bidder for the country’s second largest airline.
Deloitte’s administrator said they had been selected from five non-binding proposals received on Friday. It is looking for a binding agreement with the winning bidder on June 30.
Others who have submitted proposals include BGH Capital, Indigo Partners and Brookfield Asset Management, Reuters previously reported.
Virgin owed almost A $ 7 billion ($ 4.76 billion) to creditors when it entered voluntary administration in April with a long-term financial struggle compounded by the coronavirus pandemic.
The next phase for the parties on the short list will include further involvement with aircraft stakeholders and financiers as they seek agreement on future requirements before binding offers are accepted, Deloitte said.
Strong interest in Virgin at a time when the world aviation market is based largely shows the long-standing appeal of the Australian domestic market, a duopoly between Qantas Airways Ltd. (QAN.AX) and Virgin.
Bain, who owns Trans Maldivian Airways, was advised of its Virgin offer by Jayne Hrdlicka, former head of the Qantas low-cost airline, Jetstar.
Cyrus was an investor in Virgin America with Virgin Richard Branson founder before being sold to Alaska Airlines. Cyrus also invested in the British airline Flybe which was destroyed with Virgin Atlantic.
($ 1 = 1.4712 Australian dollars)
Reporting by Jamie Freed, Scott Murdoch and Paulina Duran; Editing by Kim Coghill
HONG KONG / SYDNEY (Reuters) – Virgin Australia Holdings Ltd (VAH.AX) Administrators have potential potential buyers, BGH Capital, Bain Capital, Indigo Partners, and Cyrus Capital Partners, a source with knowledge of the matter said on Monday.
FILE PHOTO: Virgin Australia Airlines plane took off from Kingsford Smith International Airport in Sydney, Australia, March 18, 2020. REUTERS / Loren Elliott / Photo File
The airline administrator is expected to receive as many as eight indicative non-binding offers from prospective buyers before the delivery deadline on Friday.
Binding offers for airlines will mature on June 12. The company entered into voluntary administration last month because creditors were close to A $ 7 billion ($ 4.5 billion), making it the biggest victim in the Asia-Pacific region from the coronavirus crisis that befell the global aviation industry.
Strong interest in Virgin Australia at a time when the world aviation market is based largely shows the long-standing appeal of the Australian domestic market, a duopoly between Qantas Airways Ltd. (QAN.AX) and Virgin.
Administrators at Deloitte said in a statement that they had shrunk a small number of well-funded parties with strong aviation credentials but refused to name them.
Bain, who owns Trans Maldivian Airways, is being advised of its Virgin offer by Jayne Hrdlicka, former head of the low-cost airline Qantas Jetstar, according to media reports.
BGH co-founder Ben Gray led a failed takeover bid for Qantas in 2007 when he worked at the private equity giant TPG.
Indigo Partners founder based in Phoenix, Bill Franke, is chairman of low-cost airlines A. Frontier Airlines, JetSmart, Chile and Wizz Air from Hungary (WIZZ.L).
Cyrus Capital is an investor in a collapsed British regional airline, along with Virgin Atlantic.
Bain and Indigo Partners declined to comment, while BGH and Cyrus Capital could not be contacted for comment.
The bidder chosen was first named by The Australian Financial Review.
Others who submitted indicative non-binding bids included Brookfield, InterGlobe Enterprises India and Australian mining king Andrew Forrest, people who were aware of the problem told Reuters.
Brookfield on Sunday told administrators that they would quit the process if more than two bidders were shortlisted because they would not be able to work because of the tight timeframe, said a source with knowledge of the problem. Brookfield declined to comment.
Administrators said they understood some parties would be disappointed they were not shortlisted and hoped they would respect decisions based on sustainable business and achieve the best results for all affected people.
FILE Photo: A Virgin Australia aircraft is seen at Kingsford Smith International Airport in Sydney, Australia, 21 March 2020. REUTERS / Loren Elliott / Photo File
Selected parties will receive more detailed financial and operational information, management workshops and meetings with as many investors, landlords, suppliers, trade unions, and other business stakeholders as possible before making a final offer, the administrator said.
They aim to agree to an agreement with the winning party at the end of June.
($ 1 = 1.5567 Australian dollars)
Reporting by Scott Murdoch, Paulina Duran and Jamie Freed; additional reporting by Tracy Rucinski in Chicago; Editing by Christian Schmollinger and Stephen Coates
An Oasis store was described on Argyll Street when the spread of coronavirus (COVID-19) continued in London, England, 15 April 2020. REUTERS / John Sibley
LONDON (Reuters) – British fashion brand Oasis and Warehouse has fallen into administration, threatening more than 2,000 jobs and joining a list of store groups that are increasingly pressured by the coronavirus crisis.
Deloitte, appointed administrator of the Oasis Warehouse group owned by Icelandic bank Kaupthing on Wednesday, said that 202 retail employees would be redundant, 1,801 thrown down and 41 head office staff retained.
The brands trade from 92 branches throughout the Oasis Warehouse group infrastructure outlets, with 437 concessions located at third-party retailers.
“COVID-19 has had a devastating effect on the entire retail industry and at least the Oasis Warehouse group,” said joint administrator Rob Harding.
“Despite management’s best efforts over the past few weeks, and significant interest from potential buyers, it’s not possible to save the business in its current form.”
Deloitte said the brands Oasis, Warehouse and Idle Man will continue to trade online while options for the future are assessed.
The group’s destruction came after administration last week of the Debenhams and Laura Ashley department store chains in March.
Reporting by James Davey. Editing by Jane Merriman and Elaine Hardcastle
SAO PAULO, April 15 (Reuters) – Via Varejo SA, one of Brazil’s biggest tool retailers, is trying to suspend rental payments for more than 1,020 stores to help offset a 50% decline in income, two people who know the problem said.
One person said the company had reached an agreement with several landlords and hoped to get a group agreement with another retailer that would free him from paying rent at stores located in the mall as long as they were closed by the coronavirus virus locking.
The first source said a vacation rental request was also made for billionaire chairman Michael Klein, the largest shareholder in the business who also owns dozens of stores rented by the company.
Via Varejo will save 80 million reais ($ 15 million) a month if all landowners receive neglect, a second source says, asking for anonymity to reveal private talks.
Although still weak, the company’s sales have improved since the lockdown began when the company took steps to increase online sales, which according to one source represented about 30% of total sales at that time.
In the second week of locking, the retailer launched the software he had been working on to enable salespeople to contact consumers through social media to help them with online orders. That reduced the decline in income to 50% from the previous 70%, one source said.
Via Varejo declined to comment.
Retailers, who were in the midst of a reshuffle of operations at the time and the entire sector were united with extensive store closures forced by efforts to combat the new corona virus, also delayed payments to several contractors.
The company has delayed payments to indirect suppliers such as cleaning and security companies, according to a memo from the company to its suppliers seen by Reuters.
“We postponed our entire payment schedule by one month, and at least 75 days after the issuance of the invoice,” the company said, saying payments due between April 3 and 30 will be delayed by May 5. One source close to the company said Via Varejo decided to unite the three monthly payment dates into one date, and that caused a delay.
Transportation companies are being rescued, because they are the key to providing online sales, suppliers said.
Direct suppliers, such as electronics makers, were paid on time, but Via Varejo did not add to its inventory, two people who had knowledge of ongoing talks between the company and the producer told Reuters.
“The mix of orders has changed and retailers are now buying lighter electronic goods such as vacuum cleaners or air fryers,” said an industry source, citing a pattern of new consumer demand amid lockouts.
Via Varejo shares have lost nearly half their value so far this year, underperforming the Brazilian Bovespa index, which is down about one third compared to the same period.
$ 1 = 5.1994 reais
Reporting by Tatiana Bautzer and Gabriela Mello; Editing by
Christian Plumb and Elaine Hardcastle