Benfica is vying for ownership of Luís Filipe Vieira's stocks
Benfica Ready to Pounce on Vieira's Seized Shares, Auction Imminent
Benfica has spoken out regarding the controversy surrounding the shares of ex-president Luis Filipe Vieira that are set for auction. The Lisboa e Benfica club asserted they've informed the court of their "preemptive right" to snag Vieira's shares (amounting to 3.28% of the SAD's capital) ahead of the upcoming auction.
It's important to mention that Filipe Vieira guided Benfica from 2003 until 2021, stepping down post-Operation Red Card, with Rui Costa taking over. Recently, Novo Banco seized 753,615 of Vieira's shares, as part of a precautionary measure linked to an enforcement action related to an unpaid 7.5 million euros loan to Promovalor. Vieira had provided personal guarantees, including his Benfica shares.
[UPDATE: 7:51 PM]
As for who might benefit from the sale of Vieira's shares, the information is scarce. Traditionally, preemptive rights allow shareholders to secure additional shares before public offerings. However, in this instance, financial institutions facilitating Vieira's debt repayment orchestrate the proceedings, so conventional shareholder preemptive rights might not apply.
JB Capital, a Spanish investment firm, has been tapped to manage the transaction, implying the auction won't be restricted to existing shareholders with preemptive rights.
Additional Reading: Who Strikes Gold? The Fate of Vieira's Shares in Benfica's SAD
- Filipe Vieira, former president of Benfica, guided the club from 2003 until 2021, and his shares in the club's SAD (amounting to 3.28% of the capital) are set for auction.
- Despite the controversy, Benfica asserts its preemptive right to acquire Vieira's shares before they go to public auction in the Champions League and European leagues of football.
- The sale of Vieira's shares might not be limited to existing shareholders with preemptive rights, as JB Capital, a Spanish investment firm, is managing the transaction.
- It's unclear who might benefit from the sale of Vieira's shares, as financial institutions facilitating his debt repayment are orchestrating the proceedings instead of following the usual shareholder preemptive rights.
- In the face of this uncertainty, Benfica continues to reiterate its readiness to compete in both the sports of football and the European leagues, regardless of the outcome of the auction for Vieira's shares.
