Maxcom Telecomunicaciones SAB (MAXCOMCP) said it missed a bond payment as it discusses a restructuring plan with private-equity firm Ventura Capital Privado SA and a group of bondholders.
Maxcom will use a 30-day grace period for the $11 million bond payment due today to continue the talks, it said in a statement. The Mexico City-based phone carrier is working on a plan that would include a $45 million capital infusion and a significant debt reduction, it said.
The discussions would resurrect a plan by Ventura Capital, led by former Ixe Grupo Financiero SAB executives, to strengthen a company that has struggled to compete against billionaire Carlos Slim’s America Movil SAB. Bondholders rejected a debt swap in April that would have given Ventura control of the company, which is partly owned by Bank of America Corp.
Maxcom is at least the fourth Mexican company to miss a bond payment this year. Desarrolladora Homex SAB, Mexico’s biggest homebuilder by sales, said it didn’t make an interest payment due June 11 on its dollar bonds maturing in 2019. Urbi Desarrollos Urbanos SAB and Corp. Geo SAB defaulted on bonds in April.
Maxcom’s dollar bonds due in 2014 remained unchanged at 62.26 cents on the dollar today at 9 a.m. New York time, according to data compiled by Bloomberg. The securities were trading as high as 78 cents on the dollar Feb. 22.
The restructuring would take place as a prepackaged Chapter 11 bankruptcy proceeding and a public tender offering for the shares, Maxcom said today. The company has hired Lazard Ltd. and Alfaro, Davila & Rios SC as its financial advisers and Kirkland & Ellis LLP and Santamarina & Steta SC for legal counsel, it said.
A committee of holders of the bonds due in 2014 has hired Cleary Gottlieb Steen & Hamilton LLP and Cervantes Sainz SC as legal advisers, while Ventura has retained Vace Partners for financial advice and Paul Hastings LLP and Jones Day for legal counsel.
Vace Partners had said in April that Ventura planned to withdraw its pursuit of Maxcom if bondholders didn’t exchange their debt under its proposal at the time.
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