Press Release Issued by Opportunities II Ltd.

NEW YORK, Nov. 22, 2018 /PRNewswire/ -- Vikaran Ghei, for himself, HoldCo Asset Management, and three of its managed funds, one of which is Opportunities II Ltd. (such funds, the "Petitioning Creditors" and, collectively with HoldCo Asset Management, the "HoldCo Entities"), issues this public commentary regarding the Decision Granting Motion for Judgment on Partial Findings and Dismissing the Involuntary Bankruptcy Petition (the "Opinion") issued by Bankruptcy Judge Mary Kay Vyskocil (the "Bankruptcy Court") on November 8, 2018, in In re Taberna Preferred Funding IV, Ltd., Chapter 11 Case No. 17-11628 (Bankr. S.D.N.Y.).

Mr. Ghei has read the Opinion.  He acknowledges and understands that the Bankruptcy Court made findings that the commencement of an involuntary bankruptcy case against Taberna Preferred Funding IV, Ltd. ("Taberna") served no legitimate bankruptcy purpose, that the actions taken by the Petitioning Creditors were intended to abuse the Bankruptcy Code and bankruptcy process, and that the Petitioning Creditors' goal was to liquidate Taberna's collateral solely for their benefit.  The Petitioning Creditors have not appealed, and do not intend to appeal, the Opinion.

Mr. Ghei further confirms that, following his review of the Opinion and the analysis therein, his current views are:

• There is no substantial prejudice to any noteholders to be bound by the terms and conditions of the Indenture and applicable law regarding Taberna.
• Noteholders of Taberna have remedies under nonbankruptcy law for any grievances relating to any perceived structural inadequacies of Taberna.
• One outcome of the Taberna bankruptcy case that would have been acceptable to the Petitioning Creditors would have been to liquidate Taberna's collateral for the sole benefit of the holders of Taberna's Class A-1 and Class A-2 Notes.
• If the Petitioning Creditors had been successful in obtaining an order for relief against Taberna, such an involuntary bankruptcy proceeding could create significant uncertainty across the capital markets and could encourage other parties to disregard bargained-for contractual remedies.
• Structured finance vehicles such as Taberna should not be the subject of involuntary petitions under the Bankruptcy Code, including because bankruptcy relief ought not be among the considerations that form part of the benefit of the bargain associated with investors in such collateralized debt obligations (or "CDOs").
• The Holdco Entities will not directly or indirectly file or join any other party in the filing of an involuntary bankruptcy petition against any other CDOs.
• Other noteholders of Taberna and the structured finance industry in general strongly believe that bankruptcy relief is not appropriate regarding Taberna or any other CDOs.
• The Petitioning Creditors regret any offense caused to other noteholders of Taberna, Fortress, and the structured finance industry as a result of the involuntary petition that was filed against Taberna and the rhetoric contained in some of the filings made by the Petitioning Creditors.
• Any creditor considering filing an involuntary bankruptcy petition should carefully consider and reflect on the consequences of such relief and should understand and appreciate that filing an involuntary petition is a serious act.

Disclaimer

This press release does not in any way constitute an offer or solicitation of an offer to buy or sell any investment, security, or commodity discussed herein, or any security in any jurisdiction in which such an offer would be unlawful under the securities laws of such jurisdiction.

Certain of the HoldCo Entities currently own Class A-1 and Class A-2 Notes issued by Taberna. None of the HoldCo Entities is under any obligation to maintain its existing ownership in any notes issued by Taberna and may purchase additional notes issued by Taberna or sell a portion or the entirety of its notes issued by Taberna at any time and without informing anyone.

Any and all liability relating to this press release, including, without limitation, any express or implied representation or warranty for statements contained in and omissions from this press release is expressly disclaimed.

SOURCE Opportunities II Ltd.