Deloitte to oversee Cheyne receivership

Deloitte has appointed Nick Edwards, Neville Kahn and Nick Dargan as receivers of Cheyne Finance.

Because of its focus on the debt-buying market in the US, the value of the structured investment vehicle's investment portfolio has been battered by the sub-prime turmoil in the US as borrowers have defaulted on loans.

The company, which specialises in buying debt, was forced to trigger an enforcement event on 28 August 2007 as the extent of its losses became apparent.

Cheyne said: 'The appointment of a receiver is required under the terms of the company's Security Trust Deed following the occurrence of an Enforcement Event. The appointment has been duly made by The Bank of New York as Security Trustee.'

Neville Kahn said: 'The receivers will familiarise themselves with the company's assets and liabilities, consider the strategy being put in place following the occurrence of the Enforcement Event and monitor the management of the company's assets. We are working closely with Cheyne Capital Management, the company's investment manager. Once the receivers have reviewed the situation they will provide more detail in respect of the timetable for the Company to provide further information on the immediate strategy.'

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