Mexican mortgage lender, Hipotecaria Su Casita, is seeking to reduce its debt by $612 million, which includes transferring about 50% of its equity to creditors, The Wall Street Journal reports. The company will exchange existing peso-denominated notes for $205.4 million in new seven-year guaranteed notes and shares for up to 38.4% of its equity.
Su Casita will also exchange about $138 million in outstanding dollar-denominated notes for $60 million in new 7.5% seven-year notes and up to 11.6% of the company’s shares. The lender is aiming to conclude the transactions by April 30, 2011.
Click here for the story from The Wall Street Journal.