MMX Loan Cancels Equity Offer

Brazilian miner MMX has withdrawn plans for a primary share offering filed with the CVM September 5. Instead, it plans to take out a $400m standby credit facility, after receiving offers for separate credit lines from two banks. According to Bradesco analyst Raphael Biderman, this is a good move by management as the company has $75m in net cash currently on their balance sheet. Bradesco reiterated a buy recommendation following the news.