Appeals Court Halts Burford Capital-Backed Asset Tracing in $16.1B YPF Judgment
A US Appeals Court paused asset tracing by Petersen Energía and Petersen Energía Inversora, backed by litigation funder Burford Capital, in the $16.1 billion YPF nationalization judgment. The court’s hold suspends efforts to locate Argentine assets, including central bank gold reserves, until appeals conclude.
1. Litigation Background
In 2012 Argentina seized a 51% stake in YPF Energy, prompting former shareholders Petersen Energía and Petersen Energía Inversora to sue for compensation. In 2020, US District Judge Loretta Preska awarded $16.1 billion to plaintiffs—a figure now exceeding $18 billion with accrued interest—and ordered transfer of Argentina’s controlling stake as partial payment.
2. Appeals Court Ruling
On March 19, 2026, the US Court of Appeals for the Second Circuit temporarily halted discovery aimed at identifying Argentine assets in the United States. The pause affects efforts to trace reserves such as central bank gold bars until Argentina’s appeal of the underlying judgment is resolved.
3. Implications for Burford Capital
Burford Capital, as the litigation funder backing Petersen Energía and Petersen Energía Inversora, faces delays in potential recovery timing and cash inflows. The procedural hold introduces uncertainty around when asset tracing can resume, potentially affecting Burford’s near-term revenue recognition.