In short, TCL defaulted and is still going to default. A restructuring of debt is technically a default(which has already happened). The same applies to a moratorium (which it will be taking from September this year).

Why would/did the bondholders take such a huge loss and a further downgrade of their debt instead of pressing for payments or seek to wind up the company altogether?

Secondly, why would the minority bondholders convert their holdings into equity with heavy dilution just around the corner?

Thirdly, who are the faces behind kuramo capital and why are they injecting such a hefty amount in a company that ain't worth as much? With a given certainty of continued hemorrhage for the remainder of the outstanding bond amounts and loss making by TCL, kuramo may not get a return on equity for a long time... Why invest?

This is baffling/does not add up on so many levels.

[quote=VituVingiSana]Return after 5 years? Negative 95%

http://www.businessdaily...8/-/yoviea/-/index.html[/quote]

On second look, this was a creditors compromise. Bondholders decided to take the scraps available rather than wind up the company and get nothing after paying off winding costs.