SÃO PAULO, 4 Jun (Reuters) – Raízen () signed a binding contract to sell its downstream operations in Argentina to companies owned by Mercuria Energy Group, the company announced in a material fact this Thursday.
The economic value of the transaction is US$1.42 billion, comprised of a cash payment to be made on the closing date of the operation, subject to adjustments, as well as the assumption, by Mercuria, of the debt of Raízen Argentina SAU.
The deal involves assets and equity interests related to downstream operations 🏽 in Argentina, now sold to Latam Downstream Holdings Ltd. and Silver Projects I SAU
Raízen stated that the operation is aligned with the strategy of ‘optimizing its asset portfolio, simplifying its operational structure and disciplined capital allocation’, and estimated that completion will occur in the current crop year.
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The resources from the divestment will be used to manage the company’s capital structure.
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(Reporting by Letícia Fucuchima; Editing by Michael Susin)
