For Brazil's struggling Grupo Oi SA, it seems the only stock rising these days is that of its Chief Executive Officer Zeinal Bava. When an 897 million euro ($1.21 billion) default threatened to scuttle Oi's merger with Portugal Telecom SGPS SA, Bava played a key role in talks that saved the deal. A new accord shielded Oi from potential losses and forced Portugal Telecom, his former employer, to bear their brunt.Bava, who left the top job at Portugal Telecom when he took the reins at Oi last year, soothed the nerves of Oi's Brazilian shareholders while coaxing the Portuguese into reducing their stake in the combined company known as CorpCo, according to two sources with knowledge of the negotiations."He was determined not to let this deal founder," said one source, who asked not to be named because the talks were private.Both sources said the resolution strengthened Bava's hand. But his company's position is as delicate as ever, with debt ratings sliding into junk territory and a costly auction of fourth-generation (4G) broadcast spectrum around the corner.
Oi SA, formerly Brasil Telecom SA, is a Brazil-based holding company engaged in the provision of Switched Fixed-line Telephony Services (STFC) domestically and internationally. Shares of OIBR traded higher by 3.34% or $0.0217/share to $0.67. In the past year, the shares have traded as low as $0.63 and as high as $2.34. On average, 22345200 shares of OIBR exchange hands on a given day and today's volume is recorded at 7928054.
Shares of OIBR-C fell by 2.61% or $-0.0186/share to $0.69. On average, 0 shares of OIBR-C exchange hands on a given day and today's volume is recorded at 456437.
Portugal Telecom SGPS SA (Portugal Telecom) is a Portugal-based holding company primarily engaged in the telecommunications sector. Shares of PT traded higher by 0.85% or $0.02/share to $2.38. In the past year, the shares have traded as low as $2.32 and as high as $5.09. On average, 1402980 shares of PT exchange hands on a given day and today's volume is recorded at 451386.
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