Credit Suisse to return extra Greensill funds cash

Wednesday, 03. March 2021 16:11

Credit Suisse Group AG announced on Wednesday it would return excess cash to investors from Greensill Capital's supply chain financing (SCF) funds given the "the significant amount of cash (and cash equivalents)" in them to protect the investors in them from "potential downside risk and valuation uncertainty."

"The decision to suspend redemptions from the SCF Funds was made on the basis of several factors that cumulatively led the respective fund boards to the conclusion that suspension is an appropriate measure to safeguard the interests of investors and ensure their fair and equal treatment," the group's statement read. "Investors will not be able to subscribe or redeem units of the funds until further notice."

Earlier in the day, it was reported Greensill was planning to file for insolvency after Credit Suisse and GAM Investments withdrew their funding over concerns about the company's real valuation.

Related Links: Credit Suisse Group
Author:
Breaking the News / JR