An Ontario judge has approved a plan to restructure $32 billion in assets that have been frozen since last August, a major step in what has been Canada’s largest debt restructuring.

Canada’s market involving nonbank asset-backed commercial paper, or ABCP, froze last August after news of defaults on subprime mortgages in the United States. Investors became concerned their assets would be affected by the U.S. crisis and stopped buying ABCP. They demanded repayment, but new buyers couldn’t be found, and the ABPC could not be repaid.

This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.

To view this content, please continue to their sites.

Not a Lexis Advance® Subscriber?
Subscribe Now

Not a Bloomberg Law Subscriber?
Subscribe Now

Why am I seeing this?

LexisNexis® and Bloomberg Law are third party online distributors of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® and Bloomberg Law customers are able to access and use ALM's content, including content from the National Law Journal, The American Lawyer, Legaltech News, The New York Law Journal, and Corporate Counsel, as well as other sources of legal information.

For questions call 1-877-256-2472 or contact us at [email protected]