Ardagh Group - comment
The consent solicitation announcement indicates that Ardagh will need to complete its restructuring through a scheme of arrangement (SoA), unless it can find an alternative method of addressing the PIK Holdouts. We expect the PIKs to be crammed down in any SoA, and we do not see any significant changes in recoveries from using a court process. However, using the courts will extend the time taken and the cost to the company of completing the process.