Ambipar CEO Loses Part of Stake as Ex-CFO Disputes Allegations

Ambipar Participações e Empreendimentos SA continued its downward spiral as the waste management firm’s controlling shareholder lost part of his stake and a former top executive disputed in court that his actions are to blame for a debt crisis.

As investors grew concerned about Ambipar’s liquidity, Brazilian bank Bradesco SA, broker Genial Investimentos and Grupo Opportunity sold shares owned by Chief Executive Officer Tércio Borlenghi Jr. and held as collateral, according to a filing Friday.

The sales from Sept. 25 to Oct. 6 reduced Borlenghi’s stake to 68% from 73%, the company said, arguing that the transactions were in violation ...