EZ TEC Empreendimentos Participacoes has agreed to sell part of its EZ Towers project to Sao Carlos Emprednimentos e Participacoes for BRL564m ($276m), it says. The payment for what is known as Tower A will be made over the course of two years, and is subject to adjustments. The seller is also to transfer the BRL425m financing agreement with Bradesco to Sao Carlos.
Category: M&A
Posted inDaily Brief
Impregilo Sheds Last of Piece of EcoRodovias
Italian builder Impregilo has agreed to sell the last 6.5% it holds in Brazil’s EcoRodovias to BTG Pactual, EcoRodovias says, for EUR193m ($258m) after taxes. The shares sold for BRL16.60 ($8.18) each. EcoRodovias closed at BRL18.00 Friday. Impregilo last year sold 19% of the highway concessionaire to Brazil’s Primav Construcoes, a builder, for BRL2.02bn. Primav, which is controlled by the Brazilian conglomerate CR Almeida, already owned 45% of EcoRodovias. Impregilo also sold 3.7% to BTG Pactual last year, and plans focus on infrastructure construction going forward.
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Mitsui Buys into Mexican Wind Farm
Mitsui has agreed to acquire a 50% stake in EDF’s Bii Stinu Mexican wind energy project, it says. The 164 megawatt farm in Oaxaca has a total project cost of MXP5.1bn ($399m), though Mitsui does not state the exact amount its MIT Renewables unit is to pay. The project is scheduled to begin operation in June, and has 15-year power purchase agreements with Arcelor Mittal Steel Lazaro Cardenas, Walmart Mexico, Grupo Modelo, Grupo Herdez and Continental Automotive Guadalajara.
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Spaniard Invests in Brazilian Plastic
Mercapital, a Spanish private equity firm, has agreed to make a EUR40m ($53m) investment in Group Betapack, it says. The investor specializing in European companies making LatAm moves takes 40% of Betapack, which through its Mirvi unit makes plastic caps and closures in Brazil. Betapack posted consolidated sales of EUR60m in 2012, and Mirvi the leader in manufacturing closures for oil in Brazil and a supplier to soft drink producers. Mirvi plans to use proceeds from the investment to expand into other LatAm countries, in addition to expanding its Brazilian plant.
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Elementia Enters Mexico JV
Mexico’s Elementia has agreed to put its Mexican cement assets into a JV with the Mexican assets of France’s Lafarge, the companies say. The JV is to be 53% owned by Elementia, and does not involve the transfer of any cash. The French cement company will contribute the Vito and Tula plants with a combined capacity close to 1m tons, while the Mexican building supply conglomerate will contribute the new 1m ton plant under construction in central Mexico. The transaction should close in 2H 2013. Officials at the companies were not available to comment on the agreement. Elementia has indicated that it targets an IPO in the medium term.
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Unidas Takes Competitor
Brazilian rental car provider Unidas has agreed to buy 100% of Best Fleet Locadora de Veiculos, it says, for an expected BRL185m ($91m). The price is subject to adjustments at the time of closing. Best Fleet, focused on vehicle sales and fleet management in the corporate sector, is part of Grupo SHC, a distributor for Jaguar and Citroen in Brazil controlled by businessman Sergio Habib. A Unidas investor relations official did not respond to a request for additional comment.
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Anglo American Unloads Mine
Anglo American and joint venture partner Cliffs Natural Resources have agreed to sell the Amapa iron ore operation in Brazil to Zamin Ferrous, Zamin says, for an undisclosed amount. Anglo had been seeking to sell its 70% share since last year, and insists it is an asset it never planned to hold. Anglo bought control of the 4.8m ton-per-year project in Northern Brazil from MMX in 2008, as part of the $5.5bn Minas Rio acquisition. The transaction is subject to regulatory approval, and expected to close by the end of the year. Zamin operates in Brazil and Uruguay.
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Caixa Buys Mining Stake from BNDESPar
BNDESPar has sold its 17.2% stake in Brazilian miner Paranapanema to Caixa Economica Federal, Paranapanema says. It does not state an exact value, though the 54.99m shares involved are worth BRL248m ($122m) at Friday’s BRL4.51 closing price. The copper and fertilizer specialist says the transaction does not affect its controlling group structure.
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Argie IT Firm Gets International Investment
US-based communications services group WPP has agreed to acquire a 20% stake in Argentine IT firm Globant for $70m, Globant says. The firm is present in several LatAm countries and has grown through acquisitions since 2003, boosted by private equity funds from investors including Endeavor Catalyst, Riverwood Capital and FTV Capital. Most recently it has acquired US-based mobile technology firm Nextive and Brazilian developer Terra Forum.
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Braskem Unloads Water Treatment Assets
Brazil’s Braskem has sold BRL652m ($318m) in water treatment assets to Odebrecht Ambimental, it says. The transaction includes 100% of the Aguas Camacari treatment facility and 54% of the Cetrel treatment services provider. The two are responsible for treating industrial waste at the Camacari petrochemical complex in the state of Bahia. “The asset sale is strategically positive as it reinforces the company’s commitment to a [deleveraging] process and to its strategy of focusing on its petrochemical core business. Nevertheless, Braskem still faces challenges to recover its operating cash flow generation and to effectively sustain a deleverage process in order to avoid the current negative pressure on its ratings,” Fitch says in a report, calling the effect of the transaction neutral to Braskem’s BBB minus credit ratings.