| SAO PAULO, Sept 5
SAO PAULO, Sept 5 Société Mondiale, a minority
shareholder in Brazil's largest fixed-line carrier OI SA
, said on Monday an arbitration ruling obliges the
company to hold a shareholders' meeting on Sept. 8 as demanded
by the activist investor.
The ruling was issued on Sept. 5 by the arbitration chamber
of the Brazilian stock market operator BM&F Bovespa SA
, according to documents sent to Reuters by the
Oi is operating under bankruptcy court protection and on
Monday filed a reorganization plan aimed at reducing 65.4
billion reais ($20.03 billion) of bond, bank and regulatory
The shareholders' meeting was called by the activist
investor in August but was suspended on Friday by the judge in
Rio de Janeiro overseeing the bankruptcy proceedings.
Société Mondiale is seeking to remove all Oi board members
appointed by majority shareholder Pharol SGPS.
Oi refused to comment on the arbitration proceedings.
Pharol said Monday's arbitration ruling causes "confusion"
in the wake of the bankruptcy court's decision from last week,
which suspended the shareholders' meeting and ordered a
mediation between the dissenting parties within 20 days.
Oi succumbed to heavy debt and years of boardroom skirmishes
and shareholder dissent.
($1 = 3.2643 Brazilian reais)
(Reporting by Ana Mano; Editing by Muralikumar Anantharaman)