Axtel SAB (AXTELCPO) plunged the most in three weeks after a creditor group said it would reject the company’s restructuring offer.
The stock of Mexico’s second-largest land-line phone carrier fell 3.9 percent to 3.19 pesos at 1:59 p.m. in Mexico City. Shares of the company, based in San Pedro Garza Garcia, earlier dropped as much as 5.4 percent, the biggest decline on an intraday basis since Dec. 21.
Bondholders controlling 40 percent of Axtel’s dollar notes will reject the Mexican phone company’s restructuring offer, Bloomberg News reported yesterday, citing a letter obtained from two investors in a creditor group.
Axtel, struggling with record losses as it tries to compete with billionaire Carlos Slim’s America Movil SAB, has offered to swap debt for new notes and cash in a restructuring that BCP Securities valued at 54 cents on the dollar.
The phone company’s investor relations chief, Adrian de los Santos, and press official Julio Salinas didn’t respond to e- mails and calls seeking comment yesterday on the letter.
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