Elliott Investment's Bid for Citgo Petroleum Moves Forward Amid Legal Uncertainties

Elliott Investment Management's conditional offer for Citgo Petroleum shares has been accepted by a U.S. court officer. The auction, which determines future ownership, is complicated by claims from defaulted Venezuela bondholders. The Delaware court's resolution and the final value of the offer are yet to be determined.

Financial firm Elliott Investment Management's conditional offer for shares was accepted by a U.S. court officer overseeing an auction that will determine the future ownership of Venezuela-owned oil refiner Citgo Petroleum, sources said.

Elliott's offer for shares in Citgo parent PDV Holding is subject to the Delaware court's resolution of claims by a group of holders of defaulted Venezuela bonds, the sources said. Their claims are threatening to derail the sales process that has already been delayed five times.

The value of Elliott's offer could not be immediately learned. The Delaware court has not disclosed the outcome of its second-bidding round for the PDV Holding shares.

(With inputs from agencies.)