José Mauro da Cunha, chairman of the Brazilian operator Oi, renounced his position as non-executive administrator in Pharol, after the Portuguese listed company opposed Oi's recovery plan.
José Mauro da Cunha, chairman of the Brazilian operator Oi, has renounced his position as non-executive administrator in the Portuguese company Pharol. The information was disclosed to the markets by former Portugal Telecom holding in a press release sent to CMVM this Thursday night. Pharol holds around 27% of Oi.
The chairman’s decision of leaving Pharol comes up shortly after creditors from the company approved the new judicial recovery plan proposed by Oi’s administration. The proposal was not yet approved by the Brazilian Justice. However, Pharol has said it stands against the plan, which meant there were some suspicions about the legality of some of the measures that were proposed.
Pharol is the largest shareholder of Oi, who is undergoing a judicial recovery proceeding in Brazil. It is the company’s biggest telecommunications’ operator, but it has been loosing some of its market share. A very high debt to thousand creditors dictated that a judicial request had to be made in order to avoid the company’s bankruptcy. One of those creditors is Anatel, the Brazilian telecommunications regulator, which has also stood against the administration’s proposal.