ROME, March 12 (Reuters) - An Italian administrative court has upheld a ruling blocking the delisting of shares in dairy group Parmalat from the Milan bourse after rejecting an appeal from market watchdog Consob, court documents seen by Reuters showed.
Parmalat’s main shareholder Sofil is seeking to take the Parma-based group private after raising its stake to 95.8 percent and buying out minority shareholders.
The move is opposed by Citibank which is seeking 345 million euros ($388.92 million) from Parmalat as compensation in a lawsuit and could receive the sum in the form of shares.
The U.S. bank turned to the administrative court this month asking for a suspension of decisions by Consob and the Milan stock exchange which had given a green light to the delisting.
The delisting will now be suspended until the regional court rules over Citi’s request to block it altogether at a hearing on March 26.
Consob can appeal to a higher court to seek to complete the delisting. ($1 = 0.8871 euros) (Reporting by Domenico Lusi, writing by Maria Pia Quaglia, editing by Valentina Za and Louise Heavens)