Santiago, June 20 - The shares of Chile's leading supermarket operator, D&S, fell sharply on Friday after its vice-president said rumors it was negotiating a merger were not true.
D&S shares slumped 6.44 percent to 201 pesos a share in late afternoon trading after soaring over 25 percent in the first four days of the week on speculation it might be negotiating a deal with a foreign retailer.
"There is no truth at all. It's just rumors," D&S vice-president Hans Eben told Reuters.
On Tuesday, the stock market regulator temporarily suspended trading of the stock after it spiked 15 percent. Trading resumed after the company said it had no explanation for the sudden rise.
Earlier this year, a merger of D&S with regional retail giant Falabella fell through after it was rejected by Chile's free trade tribunal.
Last year, after the Falabella offer was confirmed, D&S stock spiked to above 300 pesos a share.