CDS Panel Rules Altice France Debt Deal Triggers Swaps Payout

Investors holding insurance-like contracts against a default by Altice France SA are set to receive a payout, following a decision by the panel that oversees the credit default swaps market.

The Credit Derivatives Determinations Committee has ruled that the French telecommunications group’s debt restructuring constitutes a credit event, hence triggering a payout of the insurance, according to a notice posted on its website on Monday.

Altice France reached an agreement with its creditors to slash over €8 billion ($9.1 billion) of debt earlier this year, giving them in exchange a 45% equity stake in the business owned by Patrick Drahi ...