Pursuits
Billionaire Slim Capitulating in Legal Battle Buoys Axtel Bonds
This article is for subscribers only.
Mexican mobile-phone company Axtel SAB’s surprise settlement with its long-time nemesis is proving a godsend.
Axtel’s benchmark bonds had sunk to a record low 89 cents on the dollar earlier this month on speculation the plummeting peso would make it harder for the already cash-strapped company to repay its debt, which is denominated mostly in foreign currency. That’s a problem since Axtel generates almost all of its revenue in pesos.