Brazilian Grower Gets Standstill

Brazilian soybean grower Imcopa has reached an agreement with bondholders for a 120-day standstill, as it prepares a debt restructuring plan. Imcopa received 61.7% approval via a consent solicitation from holders of its $100m in 10.375% bonds due this year, which will also waive prior covenant breeches. Holders have also agreed to remove a negative pledge clause, an Imcopa official says, that will give the grower control over certain assets, allowing for more flexible negotiation with banks. Imcopa has some $400m in bilateral and syndicated loan debt with about 20 banks that it will also seek to restructure. The company aims to present a comprehensive restructuring plan within the next 120 days, the official says. Deloitte Touche Tohmatsu is advising Imcopa. HSBC managed the consent solicitation.