Financial Times: Venezuela woes on paying Russia debt raise prospect of default

GSAM has faced a storm of criticism for buying the PDVSA bonds, which opposition leaders say will not be honoured if the government falls. So far, says Russ Dallen of investment bank Caracas Capital, there have been no takers for the sovereign bonds.

“The PDVSA bond is toxic but not as toxic as the sovereign,” he says. “That one is incredibly radioactive. There have been no takers as far as I know, even at 20 cents.”

***

Mr Dallen at Caracas Capital — who is also publisher of the Latin American Herald Tribune, which first reported that Venezuela’s failure to pay its Russian debts had left a $1bn hole in Russia’s 2017 budget — points out that while Venezuela’s original default on its Russian debt happened some time ago, Russia’s public auditors say Venezuela has continued to miss payments this year, including one in March.

https://www.ft.com/content/c963883e-4c54-11e7-919a-1e14ce4af89b

Maduro acorralado pide dinero prestado a cualquier precio

“Venezuela está pidiendo préstamos a tasas de préstamo de tiburones, como si estuvieran saliendo del negocio y no tienen intención de pagar estos bonos”, dijo Russ Dallen, socio gerente de la corredora Caracas Capital, que controla el mercado de bonos de Venezuela.

http://enpaiszeta.com/maduro-acorralado-pide-dinero-prestado-cualquier-precio/

 

VENEZUELA: Den rumbo di Grecia buscando placa

“Esaki ta prijs di likidacion,” Russ Dallen ta splica, cu ta socio di e firma di intermediacion financiero Caracas Capital Markets. “Esaki ta e tipo di operacion cu un persona ta realisa ora e sa cu finalmente e no ta bay paga su debenan, manera ora bo ta na punto di declara bancarota, pero un poco prome cu esey bo ta sali pa cumpra tur sorto di cos, cargando tur bo tarhetanan di credito te maximo.”

E bononan al portador, cu en esencia ta permiti un persona transporta $5,000 miyon anonimamente den un maletin, ta un instrumento actualmente mira masha poco biaha den mercadonan financiero, despues cu a descontinua nan na Merca y otros paisnan pasobra el a converti su mes den e instrumento perfecto pa labamento di placa y evasion fiscal.

E mmiho referencia conoci di e instrumentonan aki kizas tae bononan al portador Nakatomi, menciona den e pelicula “Hard to Kill’ cu Bruce Willis, unda e bandido, Hans Gruber, a spera di por scapa comodamente cu $640 miyon den un maleta.

“No por transporta $5,000 miyon den un maletin na biyete di $100,” Dallen a comenta. “Esaki ta e instrumento perfecto pa terorista di ficcion y, aparentemente tambe, pa e regimen Venezolano.”

E informacion disponible den mercado encuanto e emision priva di e bononan al portador pa e nacion ta scars, pero un di e datonan cu a duna di conoce a yama atencion di Dallen.

“Esaki ta e prome bono cu ta bisa cu Venezuela no mester ta un pais miembro di Fondo Monetario Internacional, y cu esey, riba su mes, no ta un evento di default,” e experto financiero acomenta, citando e informacion cu a aparece den e sistema di Bloomberg.

https://www.bondia24.com/venezuela-den-rumbo-di-grecia-buscando-placa/

Financial Times: ISDA asked to consider alleged Venezuela Russian loan default

The DC request cites the Latin American Herald Tribune’s report on the default, which the FT has not been able to independently verify. Bloomberg has also confirmed the report, citing Russian Audit Chamber.

https://www.ft.com/content/b995e056-fa5c-3b2d-a4f1-63a9e4ce0404?mhq5j=e3

Washington Post: Stuck in a death spiral, Venezuela is borrowing money at any cost

“Venezuela is borrowing at loan shark rates, as if they were going out of business and had no intention of paying these bonds back,” said Russ Dallen, managing partner at the brokerage Caracas Capital, which tracks Venezuela’s bond market.

https://www.washingtonpost.com/news/worldviews/wp/2017/06/08/stuck-in-a-death-spiral-venezuela-is-borrowing-money-at-any-cost/?utm_term=.cbef9aab8c26

El Nuevo Herald: Maduro emite $8,000 millones en deuda a precios de liquidación en desesperada búsqueda de financiamiento

“Esos son precios de liquidación”, explicó Russ Dallen, socio de la firma de corretaje Caracas Capital Markets. “Es del tipo de operaciones que una persona realiza cuando sabe que al final no va a pagar las deudas, como cuando estás por declarar la bancarrota pero poco antes sales a comprar de todo, cargando hasta el máximo las tarjetas de crédito”.

Los bonos al portador, que en esencia permitirían a una persona transportar $5,000 millones anónimamente dentro de un maletín, son un instrumento actualmente muy pocas veces visto en los mercados financieros, tras haber sido descontinuados en Estados Unidos y otros países por convertirse en el instrumento perfecto para el lavado de dinero y la evasión fiscal.

La referencia mejor conocida sobre estos instrumentos quizás sea los bonos al portador Nakatomi, mencionados en la película Duro de Matar con Bruce Willis, donde el villano, Hans Gruber, esperaba escapar cómodamente con $640 millones dentro de una valija.

“No se pueden portar $5,000 millones dentro de un maletín en billetes de $100”, comentó Dallen. “Estos son instrumentos perfectos para terroristas ficcionales y, aparentemente también, para el régimen venezolano”.

http://www.elnuevoherald.com/noticias/mundo/america-latina/venezuela-es/article154956354.html

 

 

 

Bενεζουέλα – Όσο, όσο ξεπουλάει ομόλογα 5 δισ. δολ.

«Είναι λες και έχουν “ξεπούλημα λόγω κλεισίματος”», σχολίασε ο Russ Dallen, εταίρος στην Caracas Capital Markets, «και αυτό είναι που θα έπρεπε να ανησυχεί τους αγοραστές. Είτε είναι πραγματικά απελπισμένοι, είτε απλά παραγεμίζουν την πιστωτική τους ικανότητα, χωρίς να σχεδιάζουν να αποπληρώσουν».

http://www.businessenergy.gr/articlenews/16842/b%CE%B5%CE%BD%CE%B5%CE%B6%CE%BF%CF%85%CE%AD%CE%BB%CE%B1-%CE%8C%CF%83%CE%BF-%CF%8C%CF%83%CE%BF-%CE%BE%CE%B5%CF%80%CE%BF%CF%85%CE%BB%CE%AC%CE%B5%CE%B9-%CE%BF%CE%BC%CF%8C%CE%BB%CE%BF%CE%B3%CE%B1-5-%CE%B4%CE%B9%CF%83-%CE%B4%CE%BF%CE%BB

Wall Street Journal: Venezuela Tries to Resell $5 Billion Bond at Deep Discount

“It’s like they’re having a going-out-of-business sale,” said Russ Dallen, partner at the brokerage Caracas Capital Markets. “And that’s what buyers should be worried about. Either they’re really desperate or they’re just filling up their credit card with no plans of paying back.”

https://www.wsj.com/articles/venezuela-ties-to-resell-5-billion-bond-at-deep-discount-1496708928

http://www.foxbusiness.com/features/2017/06/05/venezuela-ties-to-resell-5-billion-bond-at-deep-discount.html

National Public Radio: Maduro Opponents Denounce Goldman Sachs’ Purchase Of Venezuelan Bonds

RUSS DALLEN: They’re starving – the people are starving because there’s no food, and they’re protesting because they want a change of government.

LANE: Russ Dallen is managing partner of the investment bank Caracas Capital Markets. He’s also a foe of the Maduro government. Every day, he watches money flow out of the country’s central bank as it tries to meet the basic needs of its people. But last week, something unusual happened. There were deposits.

DALLEN: There was one for $300 million on the 24; another one for $400-something million on the 25, and that’s when we knew something was strange.

El Mundo: Acusan a Goldman de ahorrarse 390 millones financiando a Maduro

La clave, según ha explicado Russ Dallen, socio y manager de Caracas Capital a este periódico, es que Dinosaur sólo hizo de intermediario, con un dinero que no era suyo -sino de Goldman- para comprar los bonos al banco central de Venezuela, que era quien tenía los bonos. Así, lo que era una venta directa quedaba formalmente como una operación en el mercado secundario.

http://www.elmundo.es/economia/2017/06/01/592f1a6e268e3ef5238b479e.html

Frankfurter Allgemeine Zeitung: Blutgeld für den Diktator – Goldman Sachs kauft Anleihen von Venezuela

Goldman Sachs rechtfertigte sich gegen die Kritik in einer Stellungnahme. Der Bank sei bewusst, dass „Venezuela in einer Krise steckt“. Mit dem Geschäft setze Goldman jedoch auf eine künftige „Besserung des Lebens“ in Venezuela. Wenn die Bank das so sehe, „hätte sie die Anleihen auf dem Sekundärmarkt kaufen können, ohne das Geld direkt an Maduro zu geben“, kommentierte der amerikanische Spezialist für Venezuela-Anleihen, Russ Dallen. Stattdessen habe sie „wie ein Pfandverleiher, der weiß, dass er Diebesgut annimmt, 865 Millionen Dollar an ein illegitimes und diktatorisches Regime geliefert“.

http://plus.faz.net/evr-editions/2017-06-01/r9u3OIWigWbdrzMxLKwrK1PO?GEPC=s3

Financial Times: Why Goldman’s Venezuela bond trade sparked controversy

The Wall Street Journal named the brokerage as a little-known outfit called Dinosaur Group, too small to have bought the bonds and sold them itself, so it would only have been an intermediary, argues Russ Dallen of Caracas Capital. And the Venezuelan central bank’s reserves rose by $442m to $10.8bn last Thursday, the day the bond trade is reported to have gone through.

https://www.ft.com/content/c2f0fc3c-466b-11e7-8519-9f94ee97d996

 

CNN: Venezuelans are Outraged at Goldman Sachs

“I find what Goldman did morally reprehensible,” says Russ Dallen, managing partner of Caracas Capital, an investing firm in Miami.

http://money.cnn.com/2017/05/30/news/economy/goldman-sachs-venezuela/index.html

 

Vanessa Neumann: How Goldman Sachs Is Ruining My Venezuela

The immorality of the transaction is matched only by its strangeness. In an email Tuesday to colleagues, Venezuelan financial expert Russell Dallen compared Goldman’s behavior to “a pawn-shop owner buying goods they know are stolen.”

http://www.thedailybeast.com/how-goldman-sachs-is-ruining-my-venezuela

Marketplace Radio: Goldman Sachs — When Protests and Profits Collide

https://www.marketplace.org/2017/05/31/economy/goldman-sachs-when-protests-and-profits-collide

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