Brazil court again delays ruling on B Band appeal
Reuters, Wednesday, March 11, 1998 at 13:51
SAO PAULO, March 11 (Reuters) - A Brazilian high court will
not rule Wednesday on a disputed cellular concession in Sao
Paulo state, but will likely take up the isue at its next
meeting on March 25, an official said.
"It is not on the agenda for today, but it will probably be
discussed at the next meeting," said a spokesman for Brazil's
Superior Court of Justice (STJ).
He did not know why the ruling was being delayed.
The privatization of Brazil's cellular sector has been held
up for months by the court's delay in ruling on the case, which
involves an appeal by a group including Sweden's Telia.
The Tess consortium last September appealed its
disqualification by the Communications Ministry from bidding on
a prized wireless B Band license covering non-metropolitan Sao
Paulo.
A host of foreign and domestic investors have been waiting
ever since for a ruling in the case so that the government can
finish awarding its five remaining B Band concessions before
April 7.
On that date, the consortia, which all placed offers a year
earlier on the 10 B Band concessions, would have to
automatically increase bids by 20 percent to account for
inflation and depreciation of the real currency.
Analysts said the requirement to raise the offers as well
as the approach of fresh sell-offs in Brazil's cellular sector
would prompt some to drop their bids to instead take part in
upcoming A Band tenders.
james.craig@reuters.com))
Copyright 1998, Reuters News Service |
