Vinonovo by Trading Up s.r.l.

Pursuant to Article 102.3a) of Legislative Decree 58/1998, Consob has ordered the precautionary suspension for ninety days of the offer by Vinonovo by Trading Up s.r.l. to purchase Argentine bonds (Resolution no. 15231 of 25 November 2005).

It has emerged that Vinonovo has been offering, also through its own Internet site, wine in return for Argentine bonds, thereby giving investors the possibility of recouping up to 75% of the par value of the securities. The transaction consists in the offer to buy Argentine bonds in return for a consideration that the company agrees to pay in wine.

The information gathered indicated that there was a well-founded suspicion that the operation was being carried out in violation of the applicable law. In particular, it appeared to constitute a public offer to buy or exchange as defined in Article 1.1v) of the Consolidated Law on Finance. Furthermore, Consob has no record of having received either notice of such a public offer or a copy of the information document to be published, as required by Article 102.1 of the same law.

(In Consob Informa n. 47/2005 - 28 November 2005)