Friday , January 15 2021

Very serious accusation against Loma Nigra

The arguments against Loma Nigra, presented before the court, are very difficult. The first paragraph refers to "bribes paid during the Kirchner administration to conclude procurement contracts in Argentina, including the construction of the Bicentenario in the province of Buenos Aires." The reference refers to the Del Bicentenario plant, located in Berazategui, opened in 2014 and designated by the previous government for the most important sanitary work in Argentina and one of the largest in the world. According to the presentation, he has suffered "reputational damages" and "adverse business impact" due to "current cases of corruption" with regard to the Cuadernos case. According to the presentation, the cases of "massive corruption", which include "Loma Ngra's parent company", pose a serious risk today on the validity of public works for the necessary infrastructure for Argentina. He mentioned the court's statement that Loma Ngra's presence in the corruption charges would lead to the company's exclusion from future public works contracts.

In addition, within the limits of the financial risks, the applicants point out that Mauritius Mauri's government's policy of severe fiscal adjustment caused by the economic crisis has led to a delay in payments to public works contractors (something that is not really happening) would affect the entire construction equipment market, including Loma Negra.

This presentation has been added to an earlier version since last July, when other stockholders, in the midst of the financial crisis and before the demolition of the laptop case, claimed before the US courts that they did not expect the effects of the Argentine financial crisis in the company's shares in New York. And that during the presentation of the IPO was not warned by the marketing banks (J.P.Morgan and Alaria) about the weakness of the fiscal situation in the country and the proximity that Argentina's public accounts had for a possible default. The presentation, at that time and with these arguments, was initially legal and financially inaccurate. In short, according to the jurisprudence of capitalism, the loss of money for a structural and exchange crisis is at the heart of capitalism. The same argument, however, is that returning this week, but is worsened by Loma Nigra's relationship with the causes of corruption related to public affairs in the previous government, and the negative consequences stemming from these events in the value of the shares. This would violate the laws of public ethics and consequently harm equity. The crisis and the lack of expectation on the part of the banks will lead to a worsening of the situation.

Discord's first public offering was released in November 2017 in Wall Street's thunderous act. For this operation, cement owned by the Brazilians of Camargo Correa amounts to about $ 980 million. At the time, Sebastian Maril, an analyst at Research for Traders, warned that "this study opens the door for every shareholder who initially bought shares in the IPO last year or earlier and his insurers failed to" expect "the Argentinean economic situation and Government Building Decisions (quoted in the case) initiate similar lawsuits against other companies. "

The issuance of an IPO is equivalent to about US $ 50,200,000 (ADS), equivalent to 251 million ordinary shares ($ 3.80), representing nearly 40% of the total value of the company. The explanations Cammargo Corea mentions for accommodation is that this money will be used to finance investment in capital in Argentina. Loma Nigra is the main cement producer in the country, dominating 45% of the market.

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