BOGOTA (Reuters) – Shareholders of Grupo Argos and Grupo SURA, two of Colombia’s largest conglomerates, on Monday gave their boards the green light to begin studying alternative corporate structures in order to split the currently tightly-knit firms.
Argos and SURA are part of an alliance of firms known informally as Grupo Empresarial Antioqueno (GEA), made up of over a hundred firms held together by complex shareholding arrangements and partnerships.
These include lender Bancolombia (NYSE:), cement maker Cementos Argos, energy firm Celsia and pension fund Proteccion.
The firms’ shareholders have voted for their boards to examine different possible structures without incurring a conflict of interest, according to an Argos statement and a source from SURA.
Argos currently holds a 45.8% stake in SURA, which in turn owns 45% of Argos.
Argos’ CEO Jorge Mario Velasquez told shareholders during a meeting in Medellin that the firm had hired corporate financial advisors to study the possible alternatives.
“We do not have a strict time-frame as of today,” Velasquez said. “This is going to take some time so that we are able to study the matter prudently and make a competent decision.”
