Family rebels win EL CORTE INGLÉS legal battle

A Spanish court has ruled that El Corte Inglés must sell its stock at market value, in a decision that may pave the way for a public flotation of the family owned retailer. The ruling is seen a victory for a rebel wing of the El Corte Inglés extended family that disputed the company's valuation of its non-publicly traded stock below levels estimated by outside analysts. Spanish Judge Miriam Iglesias said El Corte Inglés' valuation was unfair to shareholders and did not reflect the true worth of the retailer, estimated at EUR13 billion (USD17.1 billion) by the McKinsey consultancy. El Corte Inglés must pay Cesar Areces Fuentes, leader of the dissident group, the EUR98.5 million (USD129.9 million) he asked for his stock, rather than the EUR35 million (USD46.1 million) the retailer said it was worth, the judge ruled. El Corte Inglés, which gives itself a book value of about EUR6 billion (USD7.9 billion), said it would appeal the decision.