Welcome!

News Feed Item

CorpBanca Issues Statement Regarding Cartica Lawsuit

Sends Letter to U.S. District Court for the Southern District of New York Highlighting Meritless Nature of Cartica's Claims and Seeking Court Permission to File Motions to Dismiss Cartica Lawsuit; Posts on Its Website a Disclosure Document Regarding Propo

SANTIAGO, CHILE -- (Marketwired) -- 05/30/14 -- CORPBANCA (NYSE: BCA) (SSE: CORPBANCA) announced today that it has submitted to the presiding judge in the United States District Court for the Southern District of New York (the "Court") a pre-motion letter seeking permission to file two separate Motions to Dismiss the complaint(1) brought by Cartica Management, LLC ("Cartica") regarding the proposed merger of CorpBanca and Banco Itaú Chile. CorpBanca's pre-motion letter provides, among other things, a short summary of the case and the factual and legal bases for CorpBanca's motions to dismiss Cartica's claims.

In addition, CorpBanca has posted to its website at www.corpbanca.cl a disclosure document providing additional information regarding its proposed merger with Banco Itaú Chile, including the relevant fairness opinions and preliminary pro forma information. The disclosure document can be found on CorpBanca's website along with previously disclosed materials regarding the proposed merger, including among other items, the Transaction Agreement, Shareholders Agreement, and additional transaction details in CorpBanca's most recent annual report on Form 20-F.

Further, CorpBanca notes that CorpGroup, CorpBanca's controlling shareholder, filed a Schedule 13D with the U.S. Securities and Exchange Commission disclosing, among other things, the widely known details of CorpGroup's longstanding interest in CorpBanca.

CorpBanca issued the following statement:

Since the announcement of the proposed merger with Banco Itaú Chile, Cartica, an activist hedge fund investor, has waged a multi-national public relations campaign opposing the transaction. As part of its campaign, Cartica filed a complaint against CorpBanca, its controlling shareholders, the individual directors and alternative directors of CorpBanca, and certain executive officers of CorpBanca, alleging violations of Sections 10(b), 13(d), and 20(a) of the Securities Exchange Act of 1934. CorpBanca believes firmly that Cartica's claims are misguided and entirely without merit, and its interests are not aligned with those of other CorpBanca shareholders. Furthermore, we believe that the substantial disclosures CorpBanca has made regarding the transaction, which go above and beyond requirements under Chilean law, render Cartica's claims moot. In our letter to the Court, we have outlined the factual and legal deficiencies in Cartica's claims, and have requested permission from the Court to file motions to dismiss Cartica's complaint.

Throughout the transaction process, which is in full compliance with the applicable laws and standards, CorpBanca has maintained consistent and open dialogue with its shareholders and has gone to great lengths to disclose all material information regarding the proposed merger to shareholders. In accordance with this commitment to transparency, CorpBanca also posted to its website a disclosure document providing additional information on the proposed transaction, including the relevant fairness opinions and preliminary pro forma information.

The Board of Directors of CorpBanca oversaw a thorough and competitive process for identifying the best strategic alternative for CorpBanca and its shareholders before voting in favor of the proposed transaction with Banco Itaú Chile. A summary of this process is included in the disclosure document posted to the CorpBanca website. Through its self-serving actions, Cartica is seeking to deny CorpBanca shareholders the opportunity to vote for the proposed transaction and participate in the numerous expected benefits inherent in a merger of the two banks. One of the pillars of this transaction is to enhance earnings potential and consolidate a strong position in both Chile and Colombia going forward. The merger of CorpBanca and Banco Itaú Chile is expected to create the fourth largest private bank in Chile with assets of US$46 billion, a total loan portfolio of US$35 billion and US$29 billion in deposits. We strongly believe the merger will result in pre-tax savings of approximately $100 million per year.

CorpBanca strongly believes that the proposed transaction is in the best interests of CorpBanca shareholders, and we will maintain our commitment to transparency by keeping our shareholders informed about important developments throughout this process.

About CorpBanca

CORPBANCA (NYSE: BCA) (SSE: CORPBANCA) is Chile's oldest operating private bank founded in 1871. Based in Chile, CorpBanca also participates in Colombia and Panama. It also has a branch in New York and a representative office in Madrid. Its total consolidated assets are US$33 billion approximately and the equity totaled US$3.3 billion. Focused on large and medium companies and individuals, CorpBanca offers universal bank products. Its remarkable performance in the past 18 years has allowed consolidating CorpBanca as the fourth largest private bank in Chile. In 2012 CorpBanca started the process of regionalization with the acquisition of two banks in Colombia, becoming the first Chilean bank to have banking subsidiaries abroad.

As of March 31, 2014, according to the Chilean Superintendency of Banks, CorpBanca was the fourth largest private bank in Chile in terms of the overall size of its customer loan portfolio (11.5% market share on a consolidated basis and 7.2% market share among private banks on an unconsolidated basis only taking into account its operations in Chile).

As of March 31, 2014, according to the Colombian Superintendency of Finance, CorpBanca Colombia and Helm Bank combined operations were the fifth largest bank in Colombia in terms of total assets and in terms of total loans and the fourth largest bank in Colombia in terms of total deposits, as reported under local regulatory and accounting principles.

CAUTION REGARDING FORWARD-LOOKING STATEMENTS

This press release contains forward-looking statements. Forward-looking information is often, but not always, identified by the use of words such as "anticipate", "believe", "expect", "plan", "intend", "forecast", "target", "project", "may", "will", "should", "could", "estimate", "predict" or similar words suggesting future outcomes or language suggesting an outlook. Forward-looking statements and information are based on current beliefs as well as assumptions made by and information currently available to CorpBanca concerning anticipated financial performance, business prospects, strategies and regulatory developments. Although management considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect. By their very nature, forward-looking statements involve inherent risks and uncertainties, both general and specific, and risks that predictions, forecasts, projections and other forward-looking statements will not be achieved. We caution readers not to place undue reliance on these statements as a number of important factors could cause the actual results to differ materially from the beliefs, plans, objectives, expectations and anticipations, estimates and intentions expressed in such forward-looking statements. More information on potential factors that could affect CorpBanca's financial results is included from time to time in the "Risk Factors" section of CorpBanca's Annual Report on Form 20-F for the fiscal year ended December 31, 2013, filed with the SEC. Furthermore, the forward-looking statements contained in this press release are made as of the date of this press release and CorpBanca does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement.

(1) Cartica Management, LLC, et al. v. CorpBanca, et al., Case No. 14-cv-2258 (PKC)

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
In his session at Cloud Expo, Robert Cohen, an economist and senior fellow at the Economic Strategy Institute, provideed economic scenarios that describe how the rapid adoption of software-defined everything including cloud services, SDDC and open networking will change GDP, industry growth, productivity and jobs. This session also included a drill down for several industries such as finance, social media, cloud service providers and pharmaceuticals.
"Dice has been around for the last 20 years. We have been helping tech professionals find new jobs and career opportunities," explained Manish Dixit, VP of Product and Engineering at Dice, in this SYS-CON.tv interview at 19th Cloud Expo, held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.
Extracting business value from Internet of Things (IoT) data doesn’t happen overnight. There are several requirements that must be satisfied, including IoT device enablement, data analysis, real-time detection of complex events and automated orchestration of actions. Unfortunately, too many companies fall short in achieving their business goals by implementing incomplete solutions or not focusing on tangible use cases. In his general session at @ThingsExpo, Dave McCarthy, Director of Products...
"ReadyTalk is an audio and web video conferencing provider. We've really come to embrace WebRTC as the platform for our future of technology," explained Dan Cunningham, CTO of ReadyTalk, in this SYS-CON.tv interview at WebRTC Summit at 19th Cloud Expo, held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.
Infrastructure is widely available, but who’s managing inbound/outbound traffic? Data is created, stored, and managed online – who is protecting it and how? In his session at 19th Cloud Expo, Jaeson Yoo, SVP of Business Development at Penta Security Systems Inc., discussed how to keep any and all infrastructure clean, safe, and efficient by monitoring and filtering all malicious HTTP/HTTPS traffic at the OSI Layer 7. Stop attacks and web intruders before they can enter your network.
@DevOpsSummit taking place June 6-8, 2017 at Javits Center, New York City, is co-located with the 20th International Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. @DevOpsSummit at Cloud Expo New York Call for Papers is now open.
The many IoT deployments around the world are busy integrating smart devices and sensors into their enterprise IT infrastructures. Yet all of this technology – and there are an amazing number of choices – is of no use without the software to gather, communicate, and analyze the new data flows. Without software, there is no IT. In this power panel at @ThingsExpo, moderated by Conference Chair Roger Strukhoff, Dave McCarthy, Director of Products at Bsquare Corporation; Alan Williamson, Principal...
Businesses and business units of all sizes can benefit from cloud computing, but many don't want the cost, performance and security concerns of public cloud nor the complexity of building their own private clouds. Today, some cloud vendors are using artificial intelligence (AI) to simplify cloud deployment and management. In his session at 20th Cloud Expo, Ajay Gulati, Co-founder and CEO of ZeroStack, will discuss how AI can simplify cloud operations. He will cover the following topics: why clou...
Video experiences should be unique and exciting! But that doesn’t mean you need to patch all the pieces yourself. Users demand rich and engaging experiences and new ways to connect with you. But creating robust video applications at scale can be complicated, time-consuming and expensive. In his session at @ThingsExpo, Zohar Babin, Vice President of Platform, Ecosystem and Community at Kaltura, discussed how VPaaS enables you to move fast, creating scalable video experiences that reach your aud...
Cloud Expo, Inc. has announced today that Andi Mann returns to 'DevOps at Cloud Expo 2017' as Conference Chair The @DevOpsSummit at Cloud Expo will take place on June 6-8, 2017, at the Javits Center in New York City, NY. "DevOps is set to be one of the most profound disruptions to hit IT in decades," said Andi Mann. "It is a natural extension of cloud computing, and I have seen both firsthand and in independent research the fantastic results DevOps delivers. So I am excited to help the great t...
Rapid innovation, changing business landscapes, and new IT demands force businesses to make changes quickly. In the eyes of many, containers are at the brink of becoming a pervasive technology in enterprise IT to accelerate application delivery. In this presentation, attendees learned about the: The transformation of IT to a DevOps, microservices, and container-based architecture What are containers and how DevOps practices can operate in a container-based environment A demonstration of how ...
"At ROHA we develop an app called Catcha. It was developed after we spent a year meeting with, talking to, interacting with senior citizens watching them use their smartphones and talking to them about how they use their smartphones so we could get to know their smartphone behavior," explained Dave Woods, Chief Innovation Officer at ROHA, in this SYS-CON.tv interview at 19th Cloud Expo, held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.
In this strange new world where more and more power is drawn from business technology, companies are effectively straddling two paths on the road to innovation and transformation into digital enterprises. The first path is the heritage trail – with “legacy” technology forming the background. Here, extant technologies are transformed by core IT teams to provide more API-driven approaches. Legacy systems can restrict companies that are transitioning into digital enterprises. To truly become a lead...
Without lifecycle traceability and visibility across the tool chain, stakeholders from Planning-to-Ops have limited insight and answers to who, what, when, why and how across the DevOps lifecycle. This impacts the ability to deliver high quality software at the needed velocity to drive positive business outcomes. In his general session at @DevOpsSummit at 19th Cloud Expo, Phil Hombledal, Solution Architect at CollabNet, discussed how customers are able to achieve a level of transparency that e...
WebRTC is the future of browser-to-browser communications, and continues to make inroads into the traditional, difficult, plug-in web communications world. The 6th WebRTC Summit continues our tradition of delivering the latest and greatest presentations within the world of WebRTC. Topics include voice calling, video chat, P2P file sharing, and use cases that have already leveraged the power and convenience of WebRTC.