Jostle for Brazil's CVRD in run-up to auction

Article Abstract:

There will be three stages involved in the privatisation of Brazilian mining concern Companhia Vale do Rio Doce, for which the Brazilian government has set a minimum price of $2.83 billion. To start with, a controlling stake of 40% to 45% of ordinary shares will be sold, followed by an offer to employees of 4.45% of ordinary shares and 6.3% of preference shares. The company, which is the largest iron-ore producer and exporter in the world, has attracted interest from metals and cement concern Votorantim and from steel concern Companhia Siderurgica Nacional.

Iron ores, Iron Ore, Iron Ore Mining

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Brazil's CVRD on target

Article Abstract:

It is believed that the planned privatisation of Companhia Vale do Rio Doce, state-owned Brazilian mining concern, will take the form of the sale of 40-45% of the total class of ordinary shares to certain core shareholders in the first quarter of 1997. Some 10% of the offering will probably be kept aside for sale to company employees, while a second public placing of a further 30% will be held in the second quarter of 1997. The company's market capitalisation is currently $8 billion.

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Brazil stumbles at last CVRD hurdle

Article Abstract:

The Brazilian government's sale of a 40-45% stake in mining company Companhia Vale do Rio Doce has been postponed until 6 May, 1997, because of legal and public opposition. Opponents to the partial privatization have lodged some 120 lawsuits and injunctions, against which the government is appealing. The sale is set to raise some $4.8 billion for the state, with two international consortia expressing an interest.

Management, Finance, Brazil

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