Bondholders of Puerto Rico’s bankrupt power utility are pushing for the court to increase what they stand to recover as new projections show the company’s revenue is likely to outstrip expectations due to higher electricity consumption, Bloomberg News reported. U.S.
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The debt-restructuring plan put forward by Puerto Rico’s bankrupt power authority includes a type of financing common among tobacco-settlement debt that may serve as a blueprint for other utilities seeking to raise money to meet capital needs, Bloomberg News reported.
The judge overseeing the bankruptcy of Puerto Rico’s Electric Power Authority is keeping a planned March 4 confirmation hearing, denying a request from some creditors to postpone a discussion of the utility’s debt-cutting plan on that date, Bloomberg News reported.
Puerto Rico’s bankrupt power utility and its creditors squared off in court Monday on whether bondholders have a legal right to the electricity provider’s future revenue, Bloomberg News reported.