Dana Gas Seller Turns Buyer

By John Lee.

An investment manager who correctly predicted that Dana Gas would miss payments on its Islamic bonds in 2012, has said the company’s stocks and bonds are now core holdings for his company.

Ghassan Chehayeb, who helps manage about $30 million of assets at Houston-based SanctaCapital Group, told Bloomberg that the $2 billion award that Dana Gas and partners won from the KRG in November, along with the settlement of a commercial case with RWE, will “materially change the balance sheet.

According to data compiled by Bloomberg, Dana Gas convertible bonds due in October 2017 are yielding 19 percent, near the record reached last month, and are one of the cheapest dollar bonds in the Middle East.

(Source: Bloomberg)

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