BANKING & FINANCE
Brazilian bank Bradesco and the state-run Banco do Brasil said they had each independently acquired additional stakes in two of Santander Group’s Brazilian subsidiaries (Reuters).
Braskem, Latin America’s largest petrochemical company, plans to sell at least $500 million in 10-year dollar-denominated bonds, taking advantage of a rally in emerging market debt (Reuters).
Standard Chartered said it has obtained final go ahead from the Brazilian Central Bank to begin investment banking operations at its Sao Paulo branch (Reuters).
Banco Cruzeiro do Sul, a Brazilian bank that specializes in consumer credit, offered to sell 428 million reais ($242 million) worth of new and existing stock to replenish the lender’s capital base (Reuters).
Itau Unibanco, Brazil’s largest non-government bank, expects loan delinquencies to increase in the second half of the year as the central bank moves to raise borrowing costs to fight inflation (Reuters).
Canada’s Bank of Nova Scotia could bid to purchase the Brazilian securities unit of German lender Commerzbank (Reuters).
Banco do Brasil, Latin America’s largest lender by assets, agreed to buy a controlling stake in Argentina’s Banco Patagonia SA, marking the federally run lender’s first acquisition abroad (Bloomberg).
Petrobras may have to find another way to raise capital if a plan isn’t approved by Brazil’s congress by June, Chief Executive Officer Gabrielli said (Bloomberg).
Gabrielli also said that Petrobras will spend at least $75 billion to build 25 new rigs for offshore oil production and storage by 2020 (Bloomberg).
SBM Offshore BV of Rotterdam, the world’s largest producer of floating oil-production platforms, said there’s a “very good chance” an order valued at as much as $1.5 billion from Petrobras will go ahead (Bloomberg).
The Petrobras Ordinary and Extraordinary General Shareholders’ Meeting elected the new chairman of the Board of Directors of the Company, finance minister Guido Mantega. The shareholders also elected the following people as representatives of the controlling shareholder for a term of one year,: Márcio Zimmermann, José Sergio Gabrielli de Azevedo, Francisco Roberto de Albuquerque, Luciano Coutinho, Sergio Quintela Franklin, and Silas Rondeau Cavalcanti Silva. Fabio Colletti Barbosa (common shares) and Jorge Johannpeter (preferred shares) were elected as representatives of the minority shareholders (Brazil Weekly).
Liberia is in talks with Brazil’s Vale, the world’s top iron ore producer, over a possible concession and expects to make an announcement soon (Reuters).
Brazilian iron ore firm Ferrous Resources Ltd is likely to combine an IPO in London in coming months with selling a stake to a strategic partner as it seeks finance to build its flagship mine (Reuters).
Spain’s Telefonica is seeking a merger between its fixed-line and mobile businesses in Brazil to help its eroding market share in the country (Reuters).
Brazil’s former state telecommunications monopoly Telebras is winning government support to manage a plan to generalize Internet broadband service (Reuters).
Soybean farmers in Brazil, the world’s second-largest producer of the oilseed, are withholding supplies as a currency rally erodes export profits, leading to a “serious” storage shortage, the head of Latin America’s largest farm cooperative said (Bloomberg).
Farming and cattle raising include all activities that make use of the soil for cultivation of plants and the rearing of livestock. In Brazil, this segment is responsible for 27% of the direct Gross Domestic Product (GDP), 42,5% of total exports (2009) and more than 17 million jobs. In addition, the country participates with 25% of the total world food market (Portal Brasil).
Chinese state company Chongqing Grain group plans to invest US$300 million in the purchase of 100,000 hectares of land in the Brazilian state of Bahia in order to produce soy for the Brazilian and Chinese market (Macauhub).
BR Properties SA said it agreed to buy two real-estate companies from Hines Real Estate Investment Trust Inc. for a total of 182.8 million reais ($104.4 million). BR Properties said it will buy Elouveira do Brasil Projetos Imobiliarios Ltda. and Vinhedo do Brasil Projetos Imobiliarios Ltda (Bloomberg).