KYIV (Reuters) - Ukraine's government has given the green light for financial advisory firm Lazard (NYSE:LAZ) to advise state energy company Naftogaz on its debt restructuring plan.
A resolution published on the government portal late on Wednesday said the cabinet had decided to "approve the conclusion of an agreement between the joint-stock company ... Naftogaz of Ukraine and the company Lazard Frères SAS".
Naftogaz is stuck in default after bondholders of two of its three main international bonds refused to sign up to a debt payment deferral plan offered this year.
The company has said it is continuing to develop new terms for the restructuring of its bonds, and intends to start a new consent solicitation process in the near future.
The final terms to be offered to bondholders are to be sent to the government for approval. The government resolution gave Naftogaz two weeks to do so.
Oleksiy Chernyshov, Naftogaz's new chief executive, said this month that he would boost international investors' confidence in the firm even though Ukraine is fighting a war following Russia's invasion.