Batista Bonds Worst in Emerging Markets on JBS Debt Concerns
- Eldorado, JBS bonds lead drops in corporate notes since May 17
- Potential fines, lawsuits and leniency keep bonds pressured
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After more than a year of police investigations involving JBS SA, bond investors in the world’s largest meatpacker have finally found a problem too big to ignore.
The company’s $750 million in notes due in April 2024 lost almost 18 percent in four sessions after one of biggest newspapers in Brazil reported late May 17 that Joesley and Wesley Batista, the brothers who run the company, admitted to bribery and other crimes in a plea deal with prosecutors that implicated several high ranking government officials.