BusinessWeek  – The list of dissidents is much smaller than the original 20 or so hedge funds that veoted a pre-bankruptcy deal to reduce Chrysler’s outstanding secured debt. The list of hedge funds that are still members of the opposition group calling themselves Chrysler Non-Tarp Lenders is down to just six funds. In all, the funds control $295 million of Chrysler debt, a far cry from the nearly $1 billion the original group of 20 had controlled.

The dissidents included funds managed by Schultze Asset Management, Arrow Hedge Partners, Stairway Capital, OppenheimerFunds, Foxhill Capital Partners and Group G Partners. Early on, Stairway Capital and Oppenheimer had been identified as leaders of the Chrsyler holdouts, but the others funds had not.

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Tags: 1-billion, arrow hedge partners, asset-management, bankruptcy, businessweek, capital-partners, chrysler, dissidents, far cry, holdouts, lenders, list of hedge funds, oppenheimer, opposition group, original group, rsquo, secured-debt, stairway capital

Reuters UK- Spanish property firm Martinsa Fadesa’s demise is a sign hedge funds are pushing hard to make profits out of ailing companies and may cause insolvencies in Spain to speed up.

Hedge funds which bought Martinsa Fadesa debt at discounts of as much as 50 percent of its value could now profit from its administration process, because an expected sale of assets may pay them back at a price closer to face value.

Martinsa Fadesa said on Monday it would file for administration after it failed to raise funds and meet debt payments, marking one of the biggest corporate failures in the country’s history.

Such vulture funds may not care if a company goes bust, teaching Spanish companies — used to cosy long-time relationships with regional savings banks such as La Caixa — a painful lesson in modern finance.

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