US Activist Urges CorpBanca To Ditch $3.7B Bank Buy

Law360, New York (March 4, 2014, 1:25 PM EST) -- U.S-based activist investor Cartica Capital is urging Chilean bank CorpBanca SA to unravel a merger with Latin American bank Itau Unibanco Holding SA reportedly worth $3.7 billion, contending the deal shortchanges minority investors and favors CorpBanca’s controlling shareholder, according to a letter released Tuesday.

The hedge fund, which owns 3.22 percent of CorpBanca, railed the transaction in a letter sent to the bank’s board of directors, alleging that the deal destroys shareholder value while catering to its controlling shareholder, Alvaro Saieh, who owns 55 percent of...
To view the full article, register now.