Background on Telefónica de Perú and its Current Situation
Telefónica de Perú, now known as Integral Perú, has taken a significant step to reorganize its $2 billion debt under Peruvian law and before the country’s regulatory body, Indecopi. The company initiated a regular bankruptcy proceeding (PCO) in the United States Bankruptcy Court for the Southern District of Texas.
To ensure a smooth reorganization process in Peru, Integral Perú registered its proceeding as a foreign entity under Chapter 15 of the U.S. Bankruptcy Code. This allows the company to reorganize in Peru without complications while benefiting from U.S. bankruptcy protection.
Key Figures and Appointments
The U.S. bankruptcy court’s ruling acknowledged Integral Perú as the primary foreign proceeding of the debtor. The court confirmed that the company’s main interests are centered in this market, with Timothy O’Connor designated as the foreign representative authorized to act on behalf of Integral Perú in U.S. proceedings.
O’Connor was appointed by the company in February when the international recognition process began.
Permanent Asset Protection and Creditor Actions
The U.S. court’s order grants permanent protection to Integral Perú’s assets in the U.S. market, preventing any parties from initiating, continuing, or taking actions in the U.S. that could interfere with the PCO.
This permanent protection, which had been in place provisionally since February, now stands ratified and defined. As a result, any attempts by creditors to assert claims against Integral Perú or seize its U.S.-based assets are suspended.
Integral Perú’s Strategy and Communication with Creditors
Spokesperson Milton Von Hesse announced that Integral Tec has already begun meetings with various creditor groups to inform them of the company’s strategy. The focus now shifts to ensuring the best possible service for users.
Key Questions and Answers
- What is the main reason for Telefónica de Perú’s (Integral Perú) bankruptcy proceeding in the U.S.? Integral Perú initiated a regular bankruptcy proceeding (PCO) in the U.S. to reorganize its $2 billion debt under Peruvian law and before the country’s regulatory body, Indecopi.
- Who is Timothy O’Connor and what role does he play in this process? Timothy O’Connor is the foreign representative designated by Integral Perú to act on behalf of the company in U.S. proceedings. He was appointed by Integral Perú in February when the international recognition process began.
- What does the U.S. court’s order mean for Integral Perú’s assets in the U.S.? The court’s order grants permanent protection to Integral Perú’s U.S. assets, preventing any parties from taking actions that could interfere with the PCO.
- How is Integral Perú addressing its creditors and users? Integral Perú has started meetings with creditor groups to inform them of the company’s strategy, which now focuses on ensuring the best possible service for users.
