Pacific Investment Management Co., or Pimco, and other bondholders in troubled Portuguese lender Novo Banco SA are threatening to derail a sale of the bank to private equity group Lone Star Funds, saying they would rather buy it themselves. Lone Star agreed in March to inject €1 billion ($1.11 billion) for a 75% stake in Novo Banco, with the current owner, a Bank of Portugal-run bank resolution fund keeping 25%. A condition of the sale is that bondholders must stump up another €500 million by swapping €3 billion in...

Source: Wall Street Journal June 05, 2017 10:05 UTC