MILAN, April 16 (Reuters) - Shares in Italian steel pipe maker Tenaris rallied on Tuesday after an Argentine Court reversed a previous decision charging Chief Executive Paolo Rocca in a corruption case.
The company’s share price has been under pressure since November last year after news Rocca had been charged with graft, as investors grew concerned about the future of the company in Latin America.
A court on Monday reversed the original ruling by an Argentine federal judge, saying there were not enough grounds to link Rocca with the proceedings, Tenaris said in a statement.
“The legal case in Argentina represented a source of uncertainty for several investors,” Mediobanca Securities said in a report.
Shares in Tenaris on the Milan bourse were up 2.7 percent at 12.92 euro after Tenaris’ statement.
Rocca was charged by an Argentine federal judge in the sprawling “notebooks” corruption case, centred on bribes allegedly paid by businesses to secure contracts from the administration of former President Cristina Fernandez.
According to local Argentine media, the Tenaris CEO had been charged with illicit association and payment of bribes and authorities in the country had frozen 4 billion Argentine pesos ($96 million) of his assets.
$1 = 41.5760 Argentine pesos Reporting by Stefano Rebaudo, editing by Stephen Jewkes and Emelia Sithole-Matarise