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Eurolife investors wait for decision on settlement deal

Eurolife secured bond inv-estors are still waiting on details of a potential settlement package.

Two weeks ago, the firm promised to notify bond investors of the results of a crisis meeting to bail out investors but the deal, which is thought to hinge on a buyout from a rival firm, has been held up by law-yers. If a rescue bid fails, the company could go into liquidation and investors could lose their cash.

Investors have been left in the dark over a restructuring proposal with Euro-life Assurance that could have retrieved some of the 15m.

The bond was a structured debt lent to Eurolife Assurance through subsidiary company Eurolife Capital Funding. Last year, Eurolife was forced to admit that this company could not repay the debt.

Eurolife directors were not returning calls at the time of going to press.

Sister company Nvesta director Graham Devile says: “There are a couple of legal points that have prevented an agreement being reached. We are not being told anything more.”

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