Emgasud submitted an offer to enter TGN (Argentina)

Emgasud, the Argentine energy company, has offered to buy a majority stake in Transportadora de Gas del Norte (TGN), a local natural gas transporter. "TGN business plan must be redone, the company has failed in its strategy and Emgasud can provide one for the company", said Alejandro Ivanissevich, owner of Emgasud. The businessman continued to say that TGN is not worth much currently. He submitted an offer to enter the natural gas transporter as controlling shareholder but there is nothing formal yet.As reported, TGN defaulted on its USD 344m debt in December. The value of its bonds fell to 10 cents. Following the default declaration, the company must face government intervention. According also to earlier reports, TGN, which is being advised by Barclay´s, will offer creditors cash upfront plus some new debt instruments that are still being considered.