Puerto Rico Sales Tax Bonds Soar on Potential Debt Deal (1)

(Updates bond prices, adds chart.)

Puerto Rico bonds soared as much as 30 percent after the island reached a debt restructuring deal with owners of its sales-tax backed securities, marking a significant milestone in the government’s record bankruptcy.

The U.S. territory’s subordinated sales tax bonds due in 2039, the most actively traded, jumped to about 53 cents on the dollar from 41 cents Wednesday, while senior-lien bonds due in 2040 jumped to as much as 89.5 cents from 81.7 cents. The sales-tax bonds were the most actively traded municipal securities early Aug. 9, according to data compiled by Bloomberg.

Governor ...