The deal includes “the extinguishment of the total amount of debt that Credit Suisse claimed from Mozambique”, said a statement posted after the press conference on the Facebook page of Mozambique's attorney-general.
Under the deal, UBS will forgive part of a loan that Credit Suisse made to Mozambique in 2013, representing less than $100m (R1.91bn), said one source familiar with the situation, who declined to be named because the terms are not public. UBS acquired smaller rival Credit Suisse earlier this year.
Tonela and deputy attorney-general Angelo Matusse also declined to say how much compensation Mozambique is pursuing from Emirati-Lebanese shipbuilder Privinvest.
Privinvest alleges it delivered on its contractual obligations and any payments made were investments, consultancy payments, legitimate remuneration or political campaign contributions.
The start on Monday of the three-month London high court trial was delayed until the early afternoon, a court clerk said.
The Mozambican government is paying law firm Peters & Peters £3.5m (R81.2m) a month, with legal fees totalling $80m (R1.86bn) since 2019, Matusse said.
Reuters
Mozambique says it is pursuing 'tuna bond' case against Privinvest
Mozambique will pursue compensation from shipbuilder Privinvest in a London court, officials said on Monday, after Credit Suisse reached an 11th-hour out-of-court settlement on Sunday with the country over a decade-old $1.5bn-plus (R28.64bn) “tuna bond” scandal.
The deal with Credit Suisse parent UBS only covers a 2013 loan to Proindicus, a state-owned Mozambican company, and “other processes will not be prejudiced by the agreement”, Mozambique finance minister Max Tonela told a press conference.
The tuna bond case dates back to deals between state-owned Mozambican companies and shipbuilder Privinvest — funded in part by loans and bonds from Credit Suisse and backed by undisclosed Mozambican government guarantees in 2013 and 2014 — ostensibly to develop the fishing industry and for maritime security.
But hundreds of millions of dollars went missing and, when the government debt came to light in 2016, donors such as the International Monetary Fund temporarily halted support, triggering a currency collapse, defaults and financial turmoil.
“This agreement opens room to restore the confidence of international investors in Mozambique,” Tonela said.
The deal includes “the extinguishment of the total amount of debt that Credit Suisse claimed from Mozambique”, said a statement posted after the press conference on the Facebook page of Mozambique's attorney-general.
Under the deal, UBS will forgive part of a loan that Credit Suisse made to Mozambique in 2013, representing less than $100m (R1.91bn), said one source familiar with the situation, who declined to be named because the terms are not public. UBS acquired smaller rival Credit Suisse earlier this year.
Tonela and deputy attorney-general Angelo Matusse also declined to say how much compensation Mozambique is pursuing from Emirati-Lebanese shipbuilder Privinvest.
Privinvest alleges it delivered on its contractual obligations and any payments made were investments, consultancy payments, legitimate remuneration or political campaign contributions.
The start on Monday of the three-month London high court trial was delayed until the early afternoon, a court clerk said.
The Mozambican government is paying law firm Peters & Peters £3.5m (R81.2m) a month, with legal fees totalling $80m (R1.86bn) since 2019, Matusse said.
Reuters
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