Deals
United Triggers Fight for Avianca With Bid to Oust Chairman
- U.S. company takes legal action in Bogota against Efromovich
- Second-biggest shareholder would control Colombian carrier
Passengers use self check-in kiosks at an United Continental Holdings Inc. terminal.
Photographer: Tim Fadek/BloombergThis article is for subscribers only.
United Continental Holdings Inc. is seeking to oust Avianca Holdings SA’s chairman and largest shareholder, just six months after the two airlines agreed to form a joint venture. The Colombian carrier’s stock jumped the most in nearly three years.
The U.S. airline took legal action Friday in Bogota on a defaulted $456 million loan it made to Avianca Chairman German Efromovich as part of the proposed partnership. United is looking to secure Efromovich’s majority stake in Avianca, which was collateral for the loan.