Colombia Court Lets ETB Proceed With Search For Partner - CEO
November 12 2009 - 10:02AM
Dow Jones News
A Colombian court authorized state-controlled telephone company
Empresas de Telecomunicaciones de Bogota SA (ETB.BO), or ETB, to
proceed with the search for a controlling partner, the company's
top official said Thursday, sending shares up 10.3%.
The Colombian court turned down an order imposed on Sept. 22 to
halt a process to seek a controlling partner, Fernando Panesso,
ETB's CEO told Dow Jones Newswires on Thursday.
The order was part of a lawsuit lodged by the company's labor
union, which fears massive layoffs if a private operator takes the
company over.
The lawsuit isn't over though, Sol Marina de la Rosa, ETB's vice
president for legal affairs, said.
Shares gained 10.3% to 1,070 Colombian pesos ($0.54) at 10.26
a.m. EST.
The Bogota city council now holds 86.59% of ETB, while minority
shareholders have the remaining 13.41%, according to the company's
Web site.
The city council plans to grant the majority of voting shares to
a private operator, while keeping a 51% ownership in the
company.
-By Inti Landauro, Dow Jones Newswires; 57-1-610 70 44 Ext.
1131; colombia@dowjones.com