Eike Sells OGX Shares

Controller Eike Batista has sold 49.8m OGX shares, or a 1.54% stake, OGX says, meaning he has sold a position equal to 5.67% of the EBX group oil producer since March. He plans to sell at least another 5% of his current position, though he will keep his holding above 50.01%. “The sales are part of a continuous process of improving the capital structure, and have the objective of meeting certain financial obligations with EBX creditors,” OGX says. The sale of 49.8m shares would be worth BRL25m at Thursday’s BRL0.50 closing price. OGX bondholders are awaiting a restructuring offer, expected as soon as September, which could feature equity exchanged for debt. Investors representing at least half of OGX’s 2018 and 2022 bonds have formed a group, hiring Rothschild, Cleary Gottlieb and Pinheiro Neto to advise them. Analysts expect OGX to run out of cash this year, and see a restructuring offer as a likely outcome.