Phoenix Group settles £500m debt dispute
Wednesday 31 March 2010
Phoenix Group, the indebted life insurance group that used to be known as Pearl, has struck a deal with bondholders to restructure £500m of its debt.
Investors have approved a plan that will see the bonds reduced by 15 per cent. The 6.6 per cent interest rate will remain, and the cut in the size of the securities is less than the 25 per cent that the company had originally lobbied for. Under the terms of the deal, the company will be unable to pay shareholder dividends.
Phoenix, which acquires closed life funds, was founded up by Hugh Osmond, the co-founder of the Pizza Express restaurant chain, and incurred heavy debts to finance its takeover of rival Resolution in 2007.
Last year, the firm negotiated a financial overhaul under which its banks wrote off 14 per cent of loans, while its shareholders gave up 70 per cent of their holdings. Phoenix was acquired by an Amsterdam-listed cash shell as part of the agreement, giving the privately held group a stock market listing for the first time, and it is now seeking a primary listing in London.
Much-loved cartoon character returns - without Sir David Jason
Liam Neeson's Downton dreams
Matt Smith is set to join cast of the Jane Austen classic - with a twist
Actress to appear in second series of the hugely popular crime drama
Olympic diver has made his modelling debut for Adidas
- 1 Thailand beach murders: Thai PM suggests 'attractive' female tourists cannot expect to be safe wearing bikinis
- 2 Scottish independence: Learn from Quebec's mistakes and beware of promises. Vote Yes.
- 3 'Necrophilia-obsessed' girl among double murder accused in three-way sex case
- 4 A bottle of wine a day is not bad for you and abstaining is worse than drinking, scientist claims
- 5 Revealed after 75 years of secrecy: 'Fifi' the glamorous WW2 special agent who tested British spies' resolve
Thailand beach murders: Thai PM suggests 'attractive' female tourists cannot expect to be safe wearing bikinis
Scottish independence: Final opinion polls show undecided voters could swing result either way
Isis release 'Flames of War' video warning Obama of attacks troops could face in Iraq
Jennifer Lawrence 'naked sex video' will be leaked next, threatens 4Chan celebrity photo hacker
Hitler’s former food taster reveals the horrors of the Wolf’s Lair
Daniele Watts: Django Unchained actress detained by Los Angeles police after being mistaken for a prostitute
Scottish independence referendum: A nation divided against itself
The political class is doing what Hitler couldn’t – destroying Britain
Scottish independence: Nationalist leader Jim Sillars threatens pro-union companies with 'day of reckoning' after independence
Portuguese academic says British are 'filthy, violent and drunk'
Scottish independence: David Cameron is becoming the 'George Bush of Britain'
iJobs Money & Business
£70-90,000: Saxton Leigh: Our client a London Market Insurer are seeking a Pro...
£60,000 - £80,000: Saxton Leigh: Our client is an leading Asset Manager based...
£18000 - £23000 per annum + Comission: SThree: The SThree group is a world lea...
£18000 - £23000 per annum + Commission: SThree: Real Staffing are currently lo...