Isagen SA (ISAGEN) fell the most in five years after a lawyer for former President Alvaro Uribe said he won a court order temporarily suspending the government’s plans to sell a majority stake in the hydropower producer.
Isagen dropped 3.3 percent to 2,960 pesos at 10:43 a.m. in Bogota after earlier sinking 5.9 percent in the biggest intraday decline since 2008. It was the worst performer after Canacol Energy Ltd. (CNE) on the benchmark Colcap index, which lost 0.2 percent.
“We demonstrated irreparable and immediacy of the harm if Isagen is sold,” Guillermo Rodriguez, a lawyer working on the case led by Uribe, said in a post on his Twitter account. A tribunal in Cundinamarca province agreed to suspend the government’s sale of its stake as a “cautionary measure,” Rodriguez said.
Uribe says he opposes the sale because Isagen is “needed to guarantee electric infrastructure” in the country, according to a July 30 Twitter post.
Isagen shares soared to a record 3,060 pesos yesterday. Colombia sold a portion of its stake in an initial public offering in 2007.
The government is seeking to sell its 57.66 percent Isagen stake for a minimum of 2,850 a share, valuing the holding at 4.5 trillion pesos ($2.3 billion).
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