Burford Capital files ICSID arbitration claim against Argentina over YPF

Burford Capital has initiated a new international arbitration claim against Argentina before the International Centre for Settlement of Investment Disputes (ICSID), a tribunal of the World Bank. This move follows a favorable ruling for Argentina in a New York court, where the Second Circuit Court of Appeals revoked a previous judgment that had ordered the Argentine state to pay approximately $16.1 billion regarding the 2012 expropriation of YPF.

The new legal front is being pursued on behalf of Grupo Petersen, representing minority shareholders based in Spain. Notably, the hedge fund Eton Park has been excluded from this specific ICSID proceeding due to differences in the Bilateral Investment Treaties signed between Argentina and Spain versus those with the United States.

Argentina's Treasury Department has confirmed receipt of the arbitration request and is currently organizing a legal defense. The parties now have a 90-day window to constitute the arbitral tribunal, after which a procedural calendar will be established. Unlike the U.S. judicial proceedings, this arbitration process will be conducted under confidentiality rules.