Eike reduces stake in OGX under threat of asset freeze.

247 - Lawyer Marcio de Melo Lobo filed a lawsuit this Wednesday in the 5th Business Court of Rio de Janeiro requesting the freezing of assets belonging to Eike Batista and OGX. This information comes from Lauro Jardim of Veja magazine.

Lobo based his lawsuit on news reports about the alleged insolvency of Eike and the X Group. In the petition, the lawyer also intends to prevent OGX from transferring any funds to other companies in the group. Sergio Bermudes, Eike's lawyer, reacts:

This is an unfounded action. Requesting the freezing of assets is only permissible in cases provided for by law. And this is not the case here.

Sale of stake in OGX

Reuters - Businessman Eike Batista, who controls the oil company OGX, reduced his stake in the company in June, and his participation fell to 57,18 percent, according to information sent to the Securities and Exchange Commission (CVM) this Wednesday.

Eike's previous stake was 58,92 percent.

Between June 7th and 13th, sales transactions were carried out involving 56,16 million shares, totaling 75,37 million reais.

On June 13, Eike said he had no intention of selling more shares of his oil company on the stock exchange, after selling off some of the company's stock at the end of May, which at the time increased investor distrust of the company.

Since last year, OGX's exploration campaigns have yielded results far below the company's estimates. At the beginning of the month, the company suspended operations in 3 oil fields, halted construction of 5 platforms, and announced it would no longer invest in increasing production from the Tubarão Azul field wells, which may cease oil extraction in 2014.

Successive production setbacks and cash burn at OGX have led to a sharp drop in its shares, affecting other Eike Batista companies listed on the Bovespa stock exchange.

(By Juliana Schincariol)