Petrobras raises $2.3 billion in sale of fuel distributor stake

Industry:    2021-07-01

Brazilian state-run oil company Petroleo Brasileiro SA, known as Petrobras, said on Wednesday it raised 11.36 billion reais ($2.3 billion) in the largest share offering of the year in the country.

Petrobras divested its full remaining stake of 37.5% in its former subsidiary, fuel distributor Petrobras Distribuidora SA, in a secondary share offering that was priced at 26 reais per Petrobras Distribuidora share, the company said in a filing.

The company filing confirmed earlier information from a source with knowledge of the matter.

That implies a value of 11.36 billion reais based on Petrobras’ previous announcement that 436.9 million shares would be sold in the divestiture.

The secondary share offering price represents a 2.5% discount over the closing price of Distribuidora shares of 26.68 reais on Wednesday.

Petrobras effectively privatized Distribuidora two years ago in another share offering, but kept a minority stake it fully divested now.

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