CSN Calls Foul in Camargo Bid

Brazil’s CSN, which in mid-December submitted a bid to acquire a controlling stake in Portugal’s Cimpor, claims that a competing offer from Camargo Correa breaks the rules governing takeover offers in Portugal. In a statement to Portugal’s market regulator (CMVM), CSN requests a restoration of “normal functioning of markets,” following what it alleges is a disruption that resulted from Camargo’s claim that its merger proposal offers more. The move suggests CSN is still fully invested in its attempt to acquire control of Cimpor, and that it may alter its bid. CSN’s opening gambit was rejected earlier this month by Cimpor’s board. Elsewhere, the CMVM requested Friday that Camargo clarify whether or not it has made a prior arrangement with Lafarge, a large minority shareholder in Cimpor, to acquire a 17% the French company holds in Cimpor. Rumor of the agreement was reported in a local Portuguese paper and Camargo has apparently denied any agreements with shareholders.