CARACAS, 28th October 2019 – PDVSA’s Ad-Hoc board named by interim president Juan Guaidó announced that it will take legal actions to nullify the PDVSA 2020 bonds guaranteed by CITGO’s shares, as the Guaidó administration considers that the issuance of the collateralized debt was unconstitutional due to the lack of National Assembly approval.

In the official statement issued, PDVSA’s Ad-Hoc board mentions that it tried to negotiate in good faith with the 2020 bondholders, asking them to abstain from exercising any remedial actions so that the parts could try to achieve a consensual resolution, but those negotiations didn’t translate into a mutually agreed accord. As a consequence, Guaido’s team plans to file a lawsuit in a New York court requesting the PDVSA 2020 bond to be declared null.

The full statement can be read here:

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