Shares in Italy's RCS, Cairo fall after tribunal ruling in HQ dispute

By Reuters

<p><body> <p><span class="caps">MILAN</span> (Reuters) – Shares in Italian publisher <span class="caps">RCS</span> and controlling investor Cairo Communication fell sharply on Monday after a Milan arbitral tribunal ruled in favour of Blackstone in the disputed sale of the headquarters of <span class="caps">RCS</span>. </p> <p>Shares in <span class="caps">RCS</span> Mediagroup were down 3.6% and those in Cairo Communication were down 9.2% at 0730 <span class="caps">GMT</span>, compared with a broadly flat market. </p> <p>Italian publisher Cairo Communication is owned by Italian entrepreneur and <span class="caps">RCS</span> Chairman Urbano Cairo and holds a stake of just under 60% in <span class="caps">RCS</span>, which publishes the influential daily Corriere della Sera.</p> <p><span class="caps">RCS</span> Mediagroup launched arbitration proceedings in late 2018 to nullify the 2013 sale of its historic headquarters in central Milan to Blackstone, saying the U.S. investment firm had paid too low a price at a time when <span class="caps">RCS</span> faced financial difficulties.</p> <p>But on Friday the tribunal rejected all claims advanced by <span class="caps">RCS</span>, a court document seen by Reuters showed.</p> <p/> <p> (Reporting by Elvira Pollina, editing by Giulai Segreti)</p> </body></p>