RIO DE JANEIRO, July 5 (Reuters) - The second largest shareholder in Estácio Participações SA, Chaim Zaher, resigned as chief executive officer, Brazil's No. 2 private college operator said on Tuesday, after a month-long bidding battle for the company.
Zaher, who was named Estacio's CEO in June, recommended the company's director of operations, Gilberto de Castro, take over his post. It is not clear from the filing why Zaher quit.
The Zaher family is considering buying out minority owners in an effort to outmaneuver takeover bids from rivals Kroton and Ser Educacional. A source told Reuters last week that the family could still make the cash offer if the bids of Kroton and Ser Educacional are not atractive.
Estacio's board on Thursday accepted an improved takeover bid from larger Kroton worth 5.5 billion reais ($1.67 billion), moving closer to end the takeover battle.
The board will meet again on July 8 to review the terms of the merger and, if all the conditions are agreed on, call for a shareholders' assembly to approve the proposal. ($1 = 3.3001 Brazilian reais) (Reporting by Juliana Schincariol; Writing by Alonso Soto; Editing by Andrew Hay)