Credit Suisse Bondholders Prepare for Legal Battle Over Failed Bank Bonds
Bondholders Hold $82 Million in Failed Bank's Additional Tier 1 Bonds
A group of Credit Suisse bondholders holding approximately $82 million worth of the failed bank's Additional Tier 1 (AT1) bonds are gearing up for a legal fight with Switzerland's financial regulator, Finma. The bondholders are represented by law firms Quinn Emanuel and Pallas, which are already suing Finma on behalf of other bondholders. The legal battle stems from the Swiss banking giant's restructuring in 2021, which resulted in the voiding of AT1 bonds.
Holders of $17 Billion in Credit Suisse AT1 Bonds Square Up for Fight
The group of bondholders who hold $82 million in AT1 bonds is just a fraction of the larger group of investors who hold a total of $17 billion in these bonds. These bondholders are preparing to join forces and fight for their rights in court. The bondholders argue that Finma's decision to void the AT1 bonds was unlawful, as the bonds were issued and traded in accordance with Swiss law.
Omni Bridgeway Partners with Singapore's Drew Napier to Fund AT-1 Fight
The legal fight between Credit Suisse bondholders and Finma has received a boost from Omni Bridgeway, a global investment management firm. Omni Bridgeway has partnered with Singapore's Drew Napier to provide funding for the bondholders' legal action. This funding will help the bondholders to cover the costs of the legal battle, which is expected to be protracted and expensive.
Oliver Emanuel, Credit Suisse Senior Relationship Manager, Involved in Case
Oliver Emanuel, a Senior Relationship Manager at Credit Suisse based in Zurich, Switzerland, has been mentioned in connection with the case. However, his exact role in the bondholder dispute is unclear.
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