SEC Approval For Brazil Telebras Spinoff ADRs Delayed-Govt
October 6, 1998
Dow Jones Newswires
NEW YORK -- The much-awaited listing of recently privatized spinoffs of
Telecomunicacoes Brasileiras SA (TBR, TBH) is being held up by the
registration process with the U.S. Securities and Exchange Commission,
according to a Brazilian official quoted Tuesday by the Estado news agency.
Estado said Minister Luiz Carlos Mendonca de Barros won't travel to New
York this week for the launching of the 12 new American depositary receipts
because the registration with the Securities and Exchange Commission was
delayed a little.
"It was set for next week, but I'm not sure," Mendonca was quoted by Estado
as saying. Government officials had said that the spinoffs would list their ADRs
this week.
However, a source at Telebras told Dow Jones Newswires Tuesday that the
registration process is far from over, adding that next week would seem too
optimistic a target.
The new companies received comments from the SEC on Friday, which they
have to address, according to the Telebras source, who asked not to be
named.
"First the companies have to respond to the satisfaction of the SEC. Then a
date of record (for distribution of ADRs) has to be set, and six days given for
the analysis of company data before the listing," he said. "I don't see it
happening by next week."
-By Margarita Palatnik; 201-938-2226; margarita.palatnik@cor.dowjones.com |
