1. Home
  2. /
  3. / Government can raise BRL 1,57 trillion with the sale of Vale debentures
reading time 2 min read

Government can raise BRL 1,57 trillion with the sale of Vale debentures

Written by Paulo Nogueira
Published 05/06/2019 às 01:00

Uncategorized

The decree published in the Official Gazette of this Tuesday, June 4th included more than 141,7 million debentures of the company Vale in the National Privatization Program

The government will sell Vale's private credit security, in the National Privatization Program, the debentures are valued at R$ 2,5 billion. The decree was published this Tuesday, 04, in the Official Gazette of the Union. The suggestion to sell the shares was approved by the board of the Partnerships and Investments Program (PPI), last month, and needed to be confirmed by the President of the Republic, Jair Bolsonaro.

In May of this year, the PPI also decided to include 59 new projects in the list of undertakings to be awarded to the private sector in the coming years.
Authorization was granted for the concession of highways, railways, ports, waterways, airports, transmission lines, oil and gas reserves.
The inclusion of the minority shareholding held by the Union in the share capital of IRB-Brasil Resseguros was also submitted to the approval of our president, Jair Bolsonaro.

The portfolio of shares of the Union in the IRB, based on the closing price of April 29th, has a market value of approximately R$ 3,5 billion.

The current government believes that, over the next 10 years, up to R$ 1,57 trillion will be raised.

The decree published today designates the National Bank for Economic and Social Development (BNDES) as responsible for executing and monitoring the sale of Vale's debentures.

Debentures are private credit securities, used by companies to finance their projects. The information is from Agência Brasil.

Petrobras divestment program

Petrobras' onshore fields in Bahia have their days numbered. 22 onshore fields have just entered the list of assets in the company's divestment program.
Petrobras' intention is to dispose of all of its stakes in the Polo Recôncavo and Polo Rio Ventura fields.

The announcement was made on the afternoon of Monday, June 03rd, and the divestment also involves shared installations for the disposal and treatment of production at the poles.

Aligned with the line of thought of the new president of Petrobras, Roberto Castello Branco, who declared that Petrobras will prioritize its core business, which is Exploration and Production (E&P).

Odebrecht fails in its attempt to sell Braskem and is unable to cash in!

Tags
Paulo Nogueira

With a technical background, I worked in the offshore oil and gas market for a few years. Today, my team and I are dedicated to bringing information from the Brazilian energy sector and the world, always with credible and up-to-date sources.

Share across apps