Casas Bahia, GPA seek mutual debt offset in recovery plans

Brazilian retailers Casas Bahia and GPA attempted a deal to offset mutual claims in their respective judicial recovery plans, which would have removed R$703 million (GPA receivable) and R$174 million (Casas Bahia receivable) from creditor lists. The deal did not progress, leaving both companies' recovery processes with cross-exposure intact. This matters because unresolved mutual claims complicate creditor negotiations and could affect the viability of both restructuring plans.