Petrobras Sells 35% of BR Distribuidora for $2.5 Billion

The Deal Was Closed This Tuesday, July 23. The State-Owned Company Reduced Its Stake from 71.25% to 45.25% in the Company.

The liquidation of national assets continues to accelerate; this Tuesday, July 23, Petrobras, under the leadership of Roberto Castello Branco, sold 35% of BR Distribuidora for US$ 2.5 billion, about R$ 9 billion; with the operation, Petrobras retained 37% and, thus, BR Distribuidora became a private company.

The transaction attracted 160 investors from various countries, including the United Kingdom, Canada, and the United States, among others. The banks involved in the operation are Merrill Lynch, Citi, Credit Suisse, JP Morgan, Santander, Itaú, and XP.

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With the sale, Petrobras reduced its stake from 71.25% to 45.25% in the company, and the funds are expected to enter the company’s accounts to help reduce its debt.

The subsidiary is a partner in the new piped gas distribution company in Espírito Santo, ES Gás, which was formally created this Monday, the 22nd. The company holds 60.34% of the total capital of the state-owned company and 49% of common shares, with state government control over 51% of the common shares.

Although already established, ES Gás will only take over services after signing the new concession contract. Meanwhile, Petrobras Distribuidora will continue operating the distribution of piped natural gas. The capital integration by the state government and BR will occur within up to 12 months, the oil company reported.

On Monday, during the ES Gás founding event, executives from BR Distribuidora had already confirmed that the sale process was underway but did not comment on whether this would affect the subsidiary’s stake in the state company.

In addition to gas distribution in the state, BR is a leader in the Brazilian fuel and lubricant distribution market, with more than 7,500 service stations under its brand, also operating with the BR Mania and Lubrax+ convenience franchises. In the B2B market, its portfolio includes approximately 14,000 large clients in segments such as aviation, asphalt, transportation, chemicals, supply house, and energy.

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