Province of La Rioja Bondholders File for Summary Judgment Against the Province

NEW YORK, July 26, 2021 /PRNewswire/ -- Last Friday, July 23, Beauregarde Holdings LLP, Beauregarde Holdings II LLP, Sandglass Opportunity Fund LP, Sandglass Petrus Opportunity Fund LP, and Sandglass Select Fund LP (the "Movants"), holders of 9.75% Notes due 2025 (the "Notes") issued by the Province of La Rioja (the "Province"), through their counsel Quinn Emanuel Urquhart & Sullivan, LLP, filed for summary judgment against the Province in respect of its ongoing default under the Notes.  The action, filed in the U.S. District Court for the Southern District of New York, began the process of obtaining formal money judgments against the Province.  The Movants together represent 49.7% of the Province's New York law governed debt.

The Province has admitted in legal filings that it failed to make interest payments due on the Notes in August 2020 and February 2021, and the Province is expected to miss the interest payment due next month.  The petition for summary judgment is based upon uncontested facts against which the Province has no valid defenses.

Despite its acknowledgment of default, the Province has failed to constructively engage with its bondholder representatives to negotiate a consensual debt restructuring.  During the pendency of the Province's default, nine other Argentine provinces have successfully concluded debt restructuring agreements with their international bondholders through good faith negotiations.  The Movants, while ready and willing to work with the Province to similarly reach a consensual resolution to its default, have taken the most recent step in their litigation in order to pursue their legally available remedies.

Media contact:
Quinn Emanuel Urquhart & Sullivan LLP
Dennis Hranitzky
[email protected]

SOURCE Beauregarde Holdings LLP, Beauregarde Holdings II LLP, Sandglass Opportunity Fund LP, Sandglass Petrus Opportunity Fund LP, and Sandglass Select Fund LP