Telebras Plans Rights Offer

Telecomunicacoes Brasileiras (Telebras) will offer existing shareholders the right to buy up to BRL300m ($171m) in new shares. Telebras is obliged to make the offer following an injection of capital by the Brazilian government, and has until June of 2012 to make the offer. The Brazilian government announced a plan last year to revive the one-time telecommunications monopoly and use it as the vehicle to expand broadband internet services in Brazil, investing BRL3.22bn over four years.