OGX Petroleo e Gas Participacoes SA, a Brazilian oil explorer controlled by billionaire Eike Batista, is to invest around $3 billion in exploration through 2013. The firm announced Wednesday its massive investment undertakings, geared at turning the independent driller into a major oil industry player in Latin America’s biggest economy.
Eike Batista, Brazilian billionaire businessman, is mulling the establishment of an auto factory at the Acu port complex. Batista is to invest $1 billion in the undertaking, as he moves towards securing a share of the burgeoning car industry. There has been an increased demand for cars in Brazil, the result of a growing and thriving middle class.
Royal Dutch Shell Plc has gained approval from Brazil’s antitrust regulatory authority for the acquisition of an airline-fuel business from Cosan SA Industria & Comercio, Bloomberg reported. The Hague-based company is seeking to acquire an airline- fuel business from Cosan Industria & Comercio.
Shell will be required to sell physical assets of Jacta Participacoes SA before full approval is granted, ruled Friday in a meeting in Brasilia. Shell bought Jacta Participacoes SA from Barra Bonita, Brazil-based Cosan in 2009.
Archer Daniels Midland Company Thursday announced plans to invest in sustainable palm production in Brazil. Spread over five years, the ADM investment will encompass approximately 12,000 hectares of palm production in the state of Para and include the construction of a palm processing plant.
Construction of the processing plant is expected to begin in 2013, with operations commencing in 2016.
Brazil’s leading investment bank, BTG Pactual, is to pay R$450 million for the acquisition of 100% of the shares in Banco PanAmericano S.A. The acquisition will give BTG Pactual a 37.64% stake in PanAmericano, 51% of the voting shares and 21.97% of the non-voting shares. PanAmericano is held by Grupo Silvio Santos.
BlueCielo ECM Solutions has purchased 49 per cent stake of PONTODOC Soluções de Gerenciamento Ltda. BlueCielo ECM Solutions is a leading global software company offering Engineering Content Management (ECM) solutions. PONTODOC is a successful company specializing in the implementation of ECM solutions based in Santo André, São Paulo, Brazil. Post the investment, PONTODOC will be renamed BlueCielo do Brasil Soluçöes de Gerenciamento Ltda.
Petrobras is to invest upwards of $4.5 billion in R&D in the coming five years. The investment is geared at advancing ultra-deepwater oil production. The Brazilian state owned energy firm has instituted collaborative research and development programs with Brazilian Varsities to deal with the challenges of deep sea drilling.
Speaking to Reuters last week, a Senior Brazilian government official reiterated that the Rouseff administration has no immediate plans to limit FDI in the mining sector. According to Reuters, the official further said the government may also delay its plans to increase royalties. Reports had earlier emerged with a major Brazilian Newspaper, indicating the Rouseff administration was likely to put a cap on FDI in mining, with a particular focus on iron ore assets.
Vale is boosting its investment in biodiesel for use in its machinery and trains. Vale is one of the world’s largest mining companies. The firm acquired palm oil producer Biopalma, for a consideration of $173.5 million, for the remaining 70 per cent of the company’s stock. The investment is part of Vale SA’s strategy that seeks to run more of its Brazil operations on biodiesel.
One Equity Partners (OEP) has acquired 50% of Portal de Documentos, a Brazilian company that licenses a web-based platform to expedite and automate the recovery of delinquent consumer loans. One Equity Partners is the merchant banking investment arm of JPMorgan Chase & Co. This is the first investment that OEP has made in Brazil, and was advised by Pacific Investments.
Quepasa Corporation Tuesday announced it is to acquire Brazil’s XtFt Games S/S Ltda. Quepasa Corporation is the creator and operator of Quepasa.com, the popular online social network for the Latino community.
The firm Tuesday said it has executed a definitive agreement to acquire XtFt Games S/S Ltda (XtFt), the owner of substantially all the assets of TechFront Desenvolvimento de Software S/S Ltda (TechFront), a social game development studio based in Curitiba, Brazil.
According to a report carried by Bloomberg, Brazil’s and the world’s biggest iron ore exporter, Vale SA, has focused a significant amount of its investments in fertilizers to meet rising Brazilian demand. Bloomberg cited a company official, reporting that Vale’s move aims at increased fertilizer production, to meet the rising demand for the product in Latin America’s biggest economy.
Global Village Telecom (GVT) Holding SA is to expand its operations into Rio de Janeiro as it embarks on its 2011 investment strategy for which it has a war chest of $1.04 billion. GVT Holdings SA is a Brazilian telecommunications company controlled by Vivendi. The plans will see GVT Holdings invest 400 million Brazilian reals in Rio de Janeiro, Brazil's second-biggest city, during the next two years to reach half of the city's population.
According to a report carried by Brazilian Newspaper O Folha de Sao Paolo, the Brazilian government is planning to cap FDI in the country’s mining industry, amidst concerns over the growing number of Brazilian miners falling into foreign hands. The paper cited Brasilia’s concerns regarding the increasing foreign ownership of the country’s mineral resources, both miners and mining projects.
Brazilian steelmaker Cia Siderurgica Nacional SA (CSN) announced it has increased its stake in Usinas Siderurgicas de Minas Gerais SA (Usiminas). CSN is also mulling bolstering its shareholding of its main rival on the Brazilian flat steel products market. The investment has seen CSN hike its share in the voting capital of Usiminas to 5.03%.
Carpathian Gold Inc. announced Thursday that it has agreed to acquire a ball mill and crushers for its Riacho dos Machados gold project in Minas Gerais, Brazil. The investment will cost Carpathian a sum consideration of US$9 million for the equipment and technical information. Carpathian said the investment will be funded from its financial resources.
Portugal Telecom Wednesday signed a definitive sale and purchase, subscription and shareholders agreements with Oi and its controlling shareholders for the acquisition of a 22.38% minimum direct and indirect stake in Brazil's largest landline telephone company. The deal follows previous arrangements between the two firms last year, for which Portugal Telecom announced its interest in an investment with Oi and a strategic partnership.
Aguia Resources Ltd entered a conditional agreement to acquire 100% stake of Potassio do Atlantico Ltda. Potassio do Atlantico Ltda is a private mineral exploration company in Brazil that is focused on potash exploration and development. As part of the investment, Aguia will offer 20 million fully paid ordinary shares and 1.5 million options exercisable at a price of $0.50 per option.
Mills Estruturas e Serviços de Engenharia S.A. (Mills) announced that it entered into a purchase and sales agreement to acquire 25% of the voting and total capital stock of Rohr S/A Estrutura Tubulares (Rohr) for R$ 90 million.
Rohr is a privately held company specialized in access engineering and solutions for civil construction and has 45 years of experience in this market. The company serves sectors such as heavy construction and infrastructure, residential and commercial construction, industrial maintenance and events.
Trelleborg announced it has signed an agreement to divest its operations in brake hoses for light vehicles located in Brazil. The Brazil business is part of the Trelleborg Automotive business segment. Trelleborg will sell the Brazilian operations to French company Flexitech. This divestment is a further step in the Trelleborg Group’s strategy of focusing on selected segments.
Alothon Group LLC, a leading private equity firm that invests in middle market growth companies in Brazil, announced Friday the completion of an investment in Industria Riograndese De Oleos Vegetais Ltd (Irgovel), through its Fund II investment fund.
Irgovel, based in the Brazilian state of Rio Grande do Sul, is the leading rice bran food ingredients producer in Brazil, with the capability and know-how to process and market food-grade rice bran oil and rice bran-based co-products.
Germany firm Biotest AG, Dreieich, has acquired all interests in Marcos Pedrilson Produtos Hospitalares Ltda. The Brazilian company, located in Rio de Janeiro, was Biotest’s distributor and holds all plasma protein registrations of Biotest for the Brazilian market.
Ardent Mines Limited announced the expansion of its mining interests in Brazil with the purchase of Gold Hills Mining Ltd. The firm announced it had reached an agreement upon binding and exclusive terms to acquire Gold Hills Mining Ltda., a Brazilian corporation with mineral rights on four properties located in Northeastern Brazil. Gold Hills Mining Ltd’s four properties make up a total area of approximately 3,500 Ha. Post the takeover, the properties will be collectively known as the "Serra do Ouro" project, said Ardent Mines.
According to a report carried by the Nikkei business daily, Japan’s Mitsubishi Motors Corp is planning to streamline production in developed nations while increasing output in emerging markets such as Brazil and India under a new global strategy. The automaker is keen on quickly lifting global production to 1.5 million units by redistributing business resources, up 50 per cent from fiscal 2009, the Nikkei paper said.