Terms settled on Petrobras Biocombustível’s sale of 50% stake in BSBios

Petrobras’ wholly owned subsidiary Petrobras Biocombustível SA concluded negotiations with RP Participações em Biocombustíveis SA Dec. 18 for the sale of all its shares of BSBios Indústria e Comércio de Biodiesel Sul Brasil S/A.

According to Petrobras, the value attributed to 100 percent of BSBios is 1.235 billion Brazilian reals (USD$231.6 million). With debt deductions and other price adjustments, the net amount to be received by Petrobras Biocombustível for the 50 percent share in BSBios will be 319 million Brazilian reals (nearly USD$60 million), if the transaction is approved.

The transaction is still subject to approval by the general meeting of Petrobras Biocombustível and compliance with other typical conditions.

BSBios owns two biodiesel plants each with annual production capacity of 109 million gallons—the Passo Fundo biodiesel plant located in the state of Rio Grande do Sul and the Marialva biodiesel plant located in the state of Paraná.