Portuguese 
Spanish 
3 min of reading 
MMX Mining and Metal Shares – Company in Judicial Recovery of Former Billionaire Eike Batista Plummet on the Stock Exchange
Former billionaire Eike Batista sees the MMX shares, currently in judicial recovery, melting down on the stock exchange after the mining company was summoned by the Justice of Rio de Janeiro to pay R$ 3.4 billion in tax debts. The amounts were updated until November 2020.
Read Also
- With ‘infinite’ capital from China, Eike targets Porto do Açu for solar plant construction
- Eike and China announce partnership and MMX shares – company in judicial recovery of the former billionaire – soar on the stock exchange
- According to journalists, the extraction of ore in the Amazon initiated by Eike Batista resulted in worker deaths and misery
- Tragedy on Petrobras’ P-51 platform! Worker takes his own life on board, in the Campos Basin
The warrant was received by the company last Friday (16) and was issued by the 5th Tax Execution Court. The lawsuit is filed by the Federal Revenue and refers to the non-payment of Income Tax and Social Contribution on Net Profit (CSLL) on the sale of 30% of the Minas-Rio and Amapá projects in 2007.
“The Tax Execution originates from alleged obligations to pay Corporate Income Tax (“IRPJ”) and Social Contribution on Net Profit (“CSLL”) related to the disposals of equity interests of Centennial Asset Mining Fund LLC (“CAMF”, one of the controlling shareholders of MMX) in the capital (i) of Centennial Asset Participações Amapá S/A to Cleveland-Cliffs, Inc and (ii) of Centennial Asset Participações Minas-Rio S/A to Anglo American Participações e Minerações S/A (“Anglo”), both occurring in 2007, which resulted in the disposal of 30% of the Minas-Rio and Amapá Projects,” it reported.
-
With declining production and exports at their limit, Argentina cuts vehicle tax to try to regain competitiveness and protect its pickups from the Chinese offensive.
-
With 80.9% of families in debt, the state creates a new law against over-indebtedness to guide consumers, combat abusive practices, and encourage debt renegotiation.
-
Itaú holds an auction of 200 properties in June with prices starting at R$ 43,000 and discounts of up to 63%.
-
Brazil refuses to support the G7 text on critical minerals and rare earths, enters the heavy game of strategic inputs, and tries to escape the old trap of exporting raw wealth while rich countries keep the most profitable part.
MMX “Studies the Best Strategy to Preserve the Interests of Its Shareholders and Creditors”
According to the relevant fact released on Monday (19), MMX “is studying the best strategy and the most appropriate measures to preserve the interests of its shareholders and creditors, given the impact of the tax execution on its business and its new judicial recovery plan,” it stated regarding the events of former billionaire Eike Batista.
In October 2020 (the most recent data), Eike held 18.95% of the mining company, and the Centennial Asset Mining Fund, a vehicle that gathers various investors, holds 21.04%.
Eike Closes Partnership with China and Gains ‘Infinite’ Capital to Implement Oil and Gas, Mining, Renewable Energy, and Infrastructure Projects in Brazil
After seeing his empire crumble, former billionaire Eike Batista has spent his time nurturing a list of at least 11 projects he calls ‘unicorns,’ which includes a gas pipeline linking Brazil to Paraguay, new gold mines, renewable energy, and nanotechnology.
The new business between the Chinese and the former billionaire will work as follows: Eike provides his pipeline of projects (including assets and optioned assets) and CDIL provides the apparently infinite capital, in addition to bringing various Chinese banks and state-owned enterprises that will be responsible for providing machinery, equipment, and services, and when it comes to agricultural or metallic commodities, they will guarantee the purchase of production in the form of offtake agreements.
Eike “is one of the largest developers of natural resources in history,” the CDIL chairman, Andy Lai, said to Brazil Journal in a Zoom call from Hong Kong. “He developed one of the largest mines in the world [the Minas-Rio project, which now belongs to Anglo American], knows the data about the large untapped reserves, and has set up the largest infrastructure projects in Brazil. For us, leveraging his knowledge and experience is a wise move.”
For the Chinese CDIL, their joint investments with Eike will reach tens of billions of reais, from mining to infrastructure. The MMX mining company is the first test of the new partnership, and announced last week that CDIL is negotiating with creditors regarding the company’s debts and aims to pull it out of judicial recovery.
Be the first to react!