Brazil's Oi and Pharol subsidiary agree to end legal disputes (updated)

Pharol SGPS SA

09/01/2019 11:26

(Adds details from filing)
    SAO PAULO, Jan 9 (Reuters) - Brazilian telecom group Oi SA
 OIBR4.SA  has agreed to end all legal with a subsidiary of
shareholder Pharol SGPS SA  PHRA.LS , the company said on
Wednesday, paving the way for its long-awaited operating
turnaround.
    The agreement covers all litigation against the parties in
Brazil, Portugal and other jurisdictions, Oi said in a
securities filing.
    Oi, which in December of 2017 received creditors' consent to
restructure about 65 billion reais ($17.51 billion) of debt,
said it will pay 25 million euros to Pharol as part of the
settlement in exchange for 33.8 million Oi shares held by the
company.
    The agreement also foresees that Pharol participates in the
carrier's capitalization efforts under the company's
reorganization plan, investing at least 25 million euros, the
filing said.

 (Reporting by Ana Mano; editing by Jason Neely)
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