Quick Take: China Investment Corp. Buys Stake in Brazilian Gas Pipeline
A consortium that includes Chinese sovereign wealth fund China Investment Corp. (CIC) bought a 90% stake in a natural gas pipeline unit in Brazil, CIC said Wednesday without disclosing the price.
CIC — along with Canada’s Brookfield Asset Management Inc. and other institutional investors — acquired the stake in Nova Transportadora do Sudeste SA (NTS) from Brazilian state-run oil firm Petroleo Brasileiro SA, or Petrobras, for about $5.1 billion, according to previous media reports.
However, the consortium immediately sold part of its interest to Brazilian conglomerate Investimentos Itau SA, or Itausa, retaining an 82.35% interest. Petrobras kept 10% and Itausa has a 7.65% stake, according to a Petrobras statement. Other investors’ stakes remain undisclosed.
Petrobras said Tuesday that its sale of the pipeline stake was concluded upon payment of $4.23 billion. The remaining balance of $850 million will be paid in five years.
The deal is part of Petrobras’ efforts to relieve its large debt burden by selling assets, Reuters reported last year. The oil company’s debt totaled $118 billion, according to its financial statement for the fourth quarter of 2016.
NTS has 2050 km of gas pipelines in Brazil and 44 gas delivery outlets in the southeast region.
Contact reporter Song Shiqing (email@example.com)
Jun 15 08:10 PM
Jun 15 05:32 PM
Jun 11 08:09 PM
Jun 11 07:22 PM
Jun 11 07:19 PM
Jun 10 07:29 PM
Jun 10 07:23 PM
Jun 10 07:18 PM
Jun 10 07:15 PM
Jun 09 07:22 PM
Jun 09 07:18 PM
Jun 09 07:15 PM
Jun 09 07:13 PM
Jun 08 07:37 PM
Jun 08 07:06 PM
- 1Huawei Persists in Developing Cutting-Edge Semiconductors
- 2Don’t Bet on the Yuan If You Don’t Want to Lose Money, Forex Chief Warns
- 3Beijing Urges Better Control Over Local Government Debt
- 4We Aren’t Clamping Down on IPOs, China’s Securities Chief Says
- 5Explosion Rocks Key Chinese Supplier of Global Solar Sector
- 1Power To The People: Pintec Serves A Booming Consumer Class
- 2Largest hotel group in Europe accepts UnionPay
- 3UnionPay mobile QuickPass debuts in Hong Kong
- 4UnionPay International launches premium catering privilege U Dining Collection
- 5UnionPay International’s U Plan has covered over 1600 stores overseas