Bloomberg Anywhere Remote Login Bloomberg Terminal Demo Request


Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.


Financial Products

Enterprise Products


Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000


Industry Products

Media Services

Follow Us

Bloomberg Customers

Codere Creditors Revise Restructuring Plan on Spanish Law Change

Codere SA’s bondholders revised their proposal to restructure the gaming company’s debt, saying changes to Spanish bankruptcy laws offer a chance to avoid legal proceedings.

“The company clearly fits the profile of enterprises that the new insolvency law targets,” a group of creditors said in a letter sent to the company by adviser Houlihan Lokey today. “The Spanish government has incorporated many changes in the law intended to promote restructurings of over-indebted companies through, among other things, debt-for-equity swaps.”

Under the proposal, creditors would cancel 365 million euros ($503 million) of the company’s 1 billion euros of bonds and inject as much as 400 million euros of new money in exchange for 96.8 percent of its equity. Existing shareholders will retain a 3.2 percent stake and management compensation will be tied to “certain objectives,” according to the letter from investors representing about 50 percent of Codere’s euro and dollar notes.

Italo Durazzo, a spokesman for Codere based in Madrid, didn’t immediately comment on the revised restructuring offer.

New insolvency rules came into effect on March 7, making it easier for troubled companies to avoid liquidation. The legislation threatens to make shareholders liable if they “unreasonably withhold” consent to exchange debt for equity, bondholders wrote in a separate letter on March 12.

“If the company does not achieve a restructuring during the next three weeks, it will have to file for insolvency,” the lender group wrote today in the letter. The offer is “the only viable alternative” to a “highly value destructive” legal process.

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.