SAO PAULO, June 29 (Reuters) - Two key Oi SA shareholders approved a plan to raise 8 billion reais through the sale of new shares as a way to accelerate the Brazilian wireless carrier’s emergence from bankruptcy, newspaper Valor Econômico reported on Thursday.
Pharol SGPS SA and Société Mondiale Fundo de Investimento, Oi’s two biggest shareholders with around 35 percent of its voting capital, agreed to the three-year capital hike plan in a Wednesday meeting, the report said, citing unnamed sources with knowledge of the transaction.
An official announcement could come in a matter of days, Valor said.
Media representatives for Oi were not immediately available to comment.
Oi Chief Executive Officer Marco Schroeder told Reuters on June 9 that the wireless carrier was working on a proposal to raise 8 billion reais in fresh capital from shareholders and investors. Under terms of the plan, new stock would be offered to shareholders and, if some of them forgo the chance to subscribe, to other investors.
The Oi reorganization process, which began almost a year ago and remains Brazil’s largest bankruptcy protection case to date, has been marked by a series of disputes between creditors and shareholders over the fate of Brazil’s No. 4 wireless carrier. The government has threatened to intervene should Oi stakeholders fail to reach an agreement. (Writing by Bruno Federowski)