Government in dispute Venezuela announces conditional offer to bondholders

The disputed government of Venezuela announced on Tuesday a conditional offer to those who have a series of bonds from the Republic and the state-owned PDVSA and Electricidad de Caracas, without giving further details of the terms.

The oil country suspended payments to bondholders since the end of 2017 and at that time proposed a debt renegotiation, but the process was frozen due to the political crisis and Washington sanctions that prevent citizens and companies of the United States from meeting with Venezuelan officials.

Last year, the disputed president Nicolás Maduro again asked his officials to contact the bondholders to try a debt restructuring, without success.

Maduro appoints Vice President Delcy Rodríguez as Minister of Finance

It was not clear if Rodríguez, one of the main figures of Chavismo and sanctioned by the United States, will remain in the position of vice president of the disputed government of Venezuela.

On Tuesday, the vice president, Delcy Rodríguez, called for a "conditional offer" to creditors "in order to guarantee that investors are not affected by the illegal actions of those who hold power in the United States."

Said offer would be valid until midnight on October 13, the official explained, noting that bondholders will require a permit or license in order to carry out the renegotiation.

"Issuers understand that bondholders may require consent, license or regulatory approval to accept the offer, to the extent possible issuers will collaborate with bondholders in their efforts to obtain such consent," he added.

The United States and dozens of countries do not recognize Maduro and support the president of the National Assembly, with an opposition majority, Juan Guaidó, as the legitimate president of the country. The US Treasury Department authorized Americans in August last year to close deals with Guaidó or named temporary teams.