Bethia Takes LAN Stake Via Axxion

Chile’s Grupo Bethia has acquired investment firm Axxion from Inversiones Santa Cecilia for about $430m. This gives it Axxion’s sole asset, an 8.0% stake in Chilean airline LAN, says Celfin executive director Jose Guillermo Aguero, who handled the sale. To pay for Axxion, Bethia will use cash. It is also seeking financing from third parties, says Aguero without disclosing names of banks that may be participating. A remaining 3.3% stake, or 11.3m shares, in LAN will be auctioned today in the local stock exchange for CLP9,099.58 per share, he explains. Axxion’s share price dropped 4.4% to CLP18.00 Wednesday. LAN’s shares meanwhile gained 0.4%, ending at CLP9,255.00. Santa Cecilia, and Axxion before being purchased by Bethia, are investment vehicles controlled by Chilean president Sebastian Pinera. During the presidential campaign, he had promised to sell the piece of the airline.