Fir Tree Alleges SBB Changed Statements to Hide Debt Breach (1)

Fir Tree Partners alleged that Swedish property company SBB intentionally altered the way it presented its results in order to conceal the fact that it had defaulted on its debt.

The New-York based hedge fund said that SBB “changed the presentation of its financial statements intentionally and for a non-neutral purpose,” in court filings prepared for a London hearing on Friday.

The change revolves around SBB’s so-called consolidated coverage ratio, a metric designed to assess a company’s ability to repay its debts. Lawyers for SBB denied the claims made by Fir Tree in their written arguments.

“SBB continues to firmly ...