Greece has appealed to a United Kingdom Court over a controversy over the Warrants with GDP clause, the last country involved in a dispute with growth holders associated with growth, according to Bloomberg.

According to the international agency, the Greek government filed a lawsuit last week against the Wilmington Trust, the title manager, according to court documents. Greece calls on the court to ratify the legality of its proposal to acquire all pending Warrants with a clause of GDP expiring in 2042, and to confirm that the price was correctly calculated.

This move comes after some holders of some holders of the validity of the notice issued by Greece last month to exercise a Call Option expiring on May 14, long before their expiration. Holders also questioned the calculation of the redemption price, the same announcement said.

The identity of the Warrants holders who question the exercise of the acquisition right has not been disclosed. Greece is represented by the law firm Cleary Gottlieb Steen & Hamilton.

Warrants with clause GDP are essential titles that pay payments when economic growth exceeds a certain limit, and were mainly used by Argentina and Ukraine as a motivation for creditors in their debt restructuring. Greek Warrants were published in 2012 as part of the country’s huge debt reform.

Greece’s judicial move is probably aimed at preventing the risk of being sued by disagreeing creditors on how Warrants should be invoiced. Argentina is in a lawsuit with hedge funds over Warrants with a clause of GDP, while Ukraine is trying to restructure its own titles.

Greece can also save money from payments, as its economic recovery has exceeded expectations. According to the terms of the original agreement, Greece would have to pay interest of around € 375 million in 2027, if its GDP exceeds 267 billion euros and economic growth exceeds 2%, according to Bloomberg citing a source with knowledge of the issue.

On the contrary, Call Option and Warrants’ repurchase would cost her around € 156m, the agency’s source said.

It is noted that Greece’s GDP expanded by 2.3% in 2023 and 2024 and is expected to increase by 2.2% in 2025, according to the average estimate of economists in Bloomberg survey.

Warrants with a clause of GDP have been a field of controversy. One reason is that due to limited liquidity it is difficult to evaluate them.

The price of Greek Warrants is currently at a price of about 30 cents per euro, according to Bloomberg data. On April 4, when the government issued the notice to Warrants’ holders, their price was about 38 cents.

The repurchase price is about 25 minutes of the euro, according to last week’s statement. This is based on the prices available on the electronic secondary market of Greece’s securities, a trading platform operated by the Bank of Greece, according to three Bloomberg sources with knowledge of the subject.