CMVM suspends EDP shares after CEO’s temporary departure

  • ECO News
  • 6 July 2020

Measures of coercion were known early this Monday afternoon. The shares reacted immediately before the CMVM decided on the suspension.

António Mexia and João Manso Neto will be forced to leave the leadership of EDP and EDP Renováveis, respectively. The information was advanced this Monday by ECO and investors reacted immediately on the stock market. The shares, which followed upwards throughout the morning, reversed to negative ground.

Portuguese Judge Carlos Alexandre ordered António Mexia and Manso Neto to be suspended from duties, due to the EDP case, which had been proposed by the Public Prosecutor’s Office, found ECO.

In the early afternoon, shortly after the measure of coercion was known, the electric shares fell 2.6% to 4,335 euros per share. The wind farm EDP Renováveis loses 2.03% to 12.56 euros per share. Both trade on the positive ground during the morning.

Antonio Mexia’s defence had considered these coercive measures proposed by the Public Prosecutor’s Office to be “illegal”. The document from the CEO of Electrica, to which ECO had access, maintains that this request for aggravating the coercive measures is related to facts that, after all, are not new – they have been public since 2018 – and had already been clarified and defends that there is no new evidence to support the review.