Brazil banks slump, blog says Odebrecht mulls bankruptcy protection, company denies

jueves 21 de julio de 2016 14:37 GYT
 

SAO PAULO, July 21 (Reuters) - Shares in Brazil's largest listed commercial lenders posted their biggest drop in a month on Thursday on a financial blog report that Odebrecht SA could be considering filing for bankruptcy protection, which the company denied.

An index grouping banking and financial shares trading in the São Paulo Stock Exchange dropped as much as 2.1 percent after blog Brazil Jornal said Odebrecht is consulting some renowned law firms to advise on an in-court reorganization. The blog did not say how it obtained the information.

Odebrecht, the country's largest engineering conglomerate, denied the report, saying its negotiations with banks continue to be positive and that its restructurings and asset sales are making progress. (Reporting by Guillermo Parra-Bernal; Editing by Chizu Nomiyama)