June 7, 2019 |
Brazil's state-owned savings bank Caixa Econômica Federal could push Odebrecht to the brink of bankruptcy if it moves to foreclose on BRL7bn ($1.8bn) in loans guaranteed by the ethanol business Atvos, LatinFinance has heard.
"Everyone is very concerned about how Caixa will recover its credit," said a lawyer in São Paulo who represents a creditor with $150m in Odebrecht debt.
"Caixa is not willing to negotiate anymore. They are pushing for an enforcement of the credit and their collateral and the
Brazilian federal savings bank's drive to recover debt could lead to huge losses for other lenders, source says