China’s Sinochem denies report of Pirelli stake sale

MILAN (Reuters) – China’s Sinochem Holdings Corp, the biggest investor in Pirelli & C SpA, on Thursday denied a report that it planned to sell its 37% stake in the Italian tyremaker.

Bloomberg had reported on Wednesday that the Chinese state-owned oil-to-chemicals group was in the early stages of reviewing its holding in Pirelli, adding that Sinochem may pursue a full or partial sale of the stake or opt to divest over time on the market.

“The report saying Sinochem weighs sale of its stake in Pirelli is not true. Sinochem does not have any plan to sell its stake in Pirelli,” the company said in a statement.

The statement was issued by Marco Polo International Italy, the vehicle through which the stake is held.

Pirelli shares pared gains after the statement and stood up by 1.5% at 1340 GMT.

(Writing by Keith Weir; Editing by Susan Fenton)