Latin American sources report that class B shareholders of Venezuelan steelmaker Siderúrgica del Orinoco (Sidor) and all employees have asked the Venezuelan government to conclude negotiations regarding Sidor's nationalization with Ternium SA, the largest steel producer in the Andes and Caribbean zones, and so avoid protests.
Sidor board member Pedro Rondón said, "We are going to have to move forward in several steps, including issuing an appeal to the country's supreme court so it will order an asset valuation for Sidor. You cannot seize the company and justify your actions later. First you need the supreme court's ruling that establishes the company's worth and the reasons for expropriation."
Mr Rondón added, "If they do not reach an agreement, Sidor's 15,000 shareholders will. We will take protests to the streets and to the courts to make the companies accountable."
In April 2008, Venezuelan president Hugo Chávez announced his decision to nationalize Sidor, previously controlled by Ternium SA, and to pay the company a sum to be agreed upon as an indemnity. However, there is still no sign of an agreement.
Argentine-Italian conglomerate Techint controlled Sidor with a 59.7 percent share through Ternium.