Latin America Business News
Vale SA makes offer for Paranapanema SA- 1.1 Billion
Brazil based Vale SA, the worlds largest iron-ore miner offered to buy Paranapanema SA for 1.1 Billion dollars. A move that would leave Vale SA, one of the world’s top producers of copper.
Paranapanema currently produces about 220,000 tons of copper cathodes per year at its Camacari plant in Brazil’s northeastern Bahia state,. There is a with an expansion project projected to take that to 277,000 tons. In addition the company produces 78,000 tons of semi- processed products such as sheet, tubes and bars at their plants in Sao Paulo and Espirito Santo states.
Valor Economico reports that the two Brazilian pension funds Previ and Petros as well as the governments BNDES development bank are all planning to sell their stakes in Paranapanema, whose stock is up 7.1%.