By Nicolás Misculin
BUENOS AIRES, Aug 3 (Reuters) – Argentina’s Buenos Aires province expects to launch its much-anticipated $7 billion bond restructuring “shortly,” a provincial source with direct knowledge of the negotiations told Reuters in a text message on Tuesday.
“We are finalizing details of the documentation, together with the actors involved, to announce the debt swap as soon as possible,” the source wrote.
Pressed on the timing of the offer, the source said it would be launched “shortly.”
Once the offer is launched it is likely to trigger a last push for support by bond holders who are arguing for better terms. They are likely to face an uphill challenge, however, as one of the funds driving the deal, GoldenTree Asset Management, controls an estimated 50% of the debt.
GoldenTree did not immediately respond to a request for comment.
The local government extended the invitation deadline for creditors to accept or reject the offer to Aug. 13. The provincial bonds trade below 50 cents on the dollar and as low as the high 30s, and have risen from lows hit in mid March on expectations of a deal.
(Reporting by Nicolas Misculin in Buenos Aires and Marc Jones in London; writing by Hugh Bronstein and Rodrigo Campos; editing by Jonathan Oatis, William Maclean)
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