On Monday 20 June, Oi, Brazil’s fourth mobile operator, presented the largest bankruptcy-protection filing in the history of Brazil at R$65bn (US$19bn). Oi was in talks to restructure its debt but the negotiations failed due to the imminent maturation of a euro-denominated bond valued at €231mn.
Of this R$65bn, as much as R$13bn is owed to three Brazilian banks (BNDES, Caixa Economic Federal and Banco do Brasil) and as noted by the Financial Times, these credits alone are “more than the total R$11bn debt of OGX, the oil company that collapsed in 2013 in the country’s last high-profile bankruptcy.”
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