Gerdau to Repurchase up to BRL50m in Shares

Gerdau plans to buy back up to 1m preferred shares in the coming 30 days, the company said Tuesday in a filing with the CVM. Based on the BRL49.55 closing price of the company’s Bovespa-traded preferred shares, that could yield a total buyback of close to BRL50m. The sum represents a fraction of the 296m outstanding preferred shares. The deal will be funded with cash on hand and the shares will be held in Gerdau’s treasury to be used for an incentive-based compensation program. Bradesco, Itau and Unibanco are slated to handle the process.