Petrobras divests stake in Belem Bioenergia Brasil
Petrobras Biocombustíveis S.A. (PBIO), a subsidiary of Brazil-headed oil and gas major Petrobras S.A. has recently announced that it has signed an agreement to sell its 50 percent stake in Belem Bioenergia Brasil (BBB) to Galp Bioenergy B.V., which holds the other 50 percent stake in the company.
According to a statement, Belem Bioenergia Brasil (BBB) was established in 2011 by Petrobras and Galp Bioenergy, a subsidiary of Portugal headed oil, gas, and energy utility major Galp Energia, SGPS, S.A (Galp) for the production of vegetable oil and biofuel. The transaction value is BRL 24.7 million (≈ EUR 5.6 million), which will be withheld by Galp until December 2020 for potential indemnity payments.
Closing is subject to the fulfillment of customary precedent conditions, such as CADE approval.
The transaction “is in line” with Petrobras’ divestment methodology, its portfolio optimization and the improvement of the company’s capital allocation.