Enrique Pescarmona, chairman of
Argentina’s biggest renewable energy company, is discovering that distancing
himself from the economic and political turmoil at home is no guarantee of
success. Pescarmona is struggling to get Venezuela’s state-run power company to
pay its bills as he runs short of cash to make a $20 million interest payment
at the end of the month. As a result, $390 million of bonds backed by his
holding company Venti SA have lost more than two-thirds of their value in the
past three months, plunging to a record low 19 cents on the dollar. That’s the
lowest price for any dollar-denominated company bond in emerging markets that
isn’t already in default. More… 
Thursday, September 11, 2014
Escaping Default From Argentina to Venezuela Proves Tough
Enrique Pescarmona, chairman of
Argentina’s biggest renewable energy company, is discovering that distancing
himself from the economic and political turmoil at home is no guarantee of
success. Pescarmona is struggling to get Venezuela’s state-run power company to
pay its bills as he runs short of cash to make a $20 million interest payment
at the end of the month. As a result, $390 million of bonds backed by his
holding company Venti SA have lost more than two-thirds of their value in the
past three months, plunging to a record low 19 cents on the dollar. That’s the
lowest price for any dollar-denominated company bond in emerging markets that
isn’t already in default. More… 
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