Tussle between Peregrine and Segal illustrates pitfalls of doing business in frontier markets

Article Abstract:

The experience of Peregrine Investment Holdings Ltd. (Peregrine) in Burma exemplifies the kind of risks businessmen must face in some frontier markets. Peregrine had invested heavily in a prawn and seafood processing venture with businesswoman Miriam Marshall Segal, who reportedly enjoys close ties with Burma's military rulers. In a dispute with Peregrine, Segal allegedly used these connections to harass Peregrine executives in Burma and force out the company from the venture. Peregrine has abandoned the venture in Burma but it has filed a $20 million suit against Segal in a US court.

author: Guyot, Erik
Cases, Peregrine International Holdings Ltd.

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Foreign debt grows as firms unravel derivatives exposure

Article Abstract:

The Indonesian government's estimates of the liabilities their banks to overseas firms, which is placed at $78.2 million, is almost certainly much higher if off-balance sheet items such as foreign exchange contracts and other derivative contracts with foreign firms. The defunct investment bank Peregrine Fixed Income Ltd. had itself a total of some $9 billion in foreign-exchange contracts to overseas firms. The whole amount of derivatives contracts may be almost impossible to determine due to fluctuations of the rupiah and a lack of sufficient documentation.

author: Guyot, Erik, Goad, G. Pierre
Economic aspects, Finance, Derivatives (Financial instruments), Indonesia, Hong Kong, Peregrine Fixed-Income Ltd.

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Peregrine's split with Miriam Segal shows perils of relying on connections

Article Abstract:

Peregrine Investments Holdings Ltd. ousted Miriam Marshall Segal as executive chairman of Peregrine Myanmar Ltd. on Jul. 10, 1995. Peregrine claimed that Segal covertly attempted to establish a competing venture in Burma. Segal disputed the allegations and warned Peregrine of the difficulties it would encounter in its Burmese operations due to her connections with the country's top generals.

author: Guyot, Erik
Management, Financial services industry, Financial services, Appointments, resignations and dismissals, Peregrine Investments Holdings Ltd.

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subjects list: Investment banks, Segal, Miriam Marshall