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In new legal decision, CSN allowed to have representatives in Usiminas board

Friday, 17 June 2016 21:57:14 (GMT+3)   |   Sao Paulo
       
Brazilian steelmaker Companhia Siderurgica Nacional (CSN), a competitor and minor shareholder at flats steelmaker Usiminas, has reverted a decision in less than 24 hours that prevented it from appointing members to the board of Usiminas.

According to a judge in Brazil’s federal district, CSN-appointed members should continue participating in Usiminas’ board discussions as they are “independent” and are subject to potential misconduct.

The decision marks an ongoing legal dispute between Usiminas and CSN, which are fighting to gain influence in the flats steelmaker’s board.

Brazil’s anti-trust authority, Cade, had prevented CSN from having members at the Usiminas board, but surprised Usiminas major shareholders Ternium and Nippon Steel this year after having allowed CSN to have a seat at the Usiminas board.

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