NEW YORK--(BUSINESS WIRE)--Fintech Investments Limited (“Fintech”) has acquired approximately 98% of the outstanding principal amount of the Senior Floating Rate First Lien Notes due 2011 issued by Grupo Iusacell Celular, S.A. de C.V. (“Iusacell Celular”), approximately 92% of the outstanding principal amount of the 10.0% Senior Subordinated Second Lien Notes due 2012 issued by Iusacell Celular, and approximately 76% of the outstanding principal amount of the 10.0% Senior Secured Notes due 2013 issued by Grupo Iusacell, S.A.B. de C.V. (“Grupo Iusacell” and, together with Iusacell Celular, “Iusacell”).
Fintech believes that the lock-up agreements that it has entered into in respect of such debt are terminable. Fintech intends to engage in good faith discussions regarding a revision of the terms of the existing pre-packaged plans in the concurso mercantil proceedings that are currently pending in Mexico in respect of Grupo Iusacell and Iusacell Celular. In the context of these discussions, Fintech intends to explore with Iusacell a variety of potential alternative restructuring proposals, including a potential capitalization of debt into restricted equity with limited minority rights granted to the current minority holders of such debt. Any such transaction will be subject to approval in the concurso mercantil proceedings by holders of a majority of the debt, which Fintech currently controls. Fintech cannot provide any assurances with respect to the timing for implementation of any transaction resulting from these discussions.