Minority Avianca shareholder demands investigation of Synergy deals

Kingsland Holdings Limited, a minority shareholder in Avianca, has formally requested shareholders vote on whether to appoint an auditor to examine transactions between the airline and controlling shareholder Synergy, Kingsland said Wednesday. Synergy is controlled by investor German Efromovich, who along with United Continental Holdings is being sued by Kingsland for "clandestinely" negotiating an US$800m loan and strategic alliance behind the backs of other shareholders. Synergy holds 78% of Avianca voting shares, while Kingsland holds 22%. Kingsland, controlled by El Salvador's Kriete family, said Wednesday that it has been requesting for several months that Avianca retain an independent auditor to review transactions with Synergy. <br/>