By Marianna Parraga and Gary McWilliams
HOUSTON (Reuters) – Creditors seeking proceeds from an auction of shares in a parent of Citgo Petroleum to repay them for Venezuela’s expropriations and debt defaults on Tuesday widely criticized terms of a conditional offer selected in the U.S. court’s second bidding round.
An Elliott Investment Management affiliate on Friday was named the presumptive winner of the share auction with a bid that puts an up to $7.286 billion enterprise value on Venezuela-owned refining company Citgo.
Crystallex, the company that in 2017 first brought a case that found Citgo parent PDV Holding liable for unpaid judgments and has the highest ranking claim, said terms proposed by Elliott’s Amber Energy would mean creditors who are collectively claiming $21.3 billion were “unlikely to ever be paid.”
Amy Wolf, an attorney representing ConocoPhillips (NYSE:COP), which holds the largest claims in the case, said the sales process “is not ending in the way we all would have liked.”
This post is originally published on INVESTING.
