Aracruz Celulose SA &
Votorantim Celulose e Papel SA | Update Date: 02/18/09 |
| Date Announced: 01/20/09 |
Value (million $USD): 1.15 billion U.S. Dollar
2.71 billion Brazilian Real |
|
| Status: Pending | |
| TRANSACTION DETAILS |
|---|
| Date Announced | 01/20/09 | | |
| Date Originally Announced | 01/20/09 | | |
| Format | Acq. Part. Int. | Acquisition techniques | Not Applicable |
| Attitude | Friendly | Agency | n/a |
| Value | 1.15 billion U.S. Dollar
2.71 billion Brazilian Real | Advisor Fees | n/a |
| SYNOPSIS |
|---|
| BRAZIL - Votorantim Celulose e Papel SA (VC), a unit of Grupo Votorantim, agreed to raise its stake to 24.744% from 12.372% by acquiring a 12.372% stake, or 127.506 mil ordinary shares in Aracruz Celulose SA (AC), a manufacturer of eucalyptus products, from Arainvest Participacoes SA, a unit of Grupo Safra SA, for 2.71 bil Brazilian reais ($1.148 bil US). Concurrently, VC agreed to raise its stake to 37.117% from 24.744% in AC and subsequently raise its stake to 42.636% from 37.117% in AC. Previously, VC agreed to raise its stake to 44.141% from 42.636% and subsequently acquire the remaining 55.859% interest, which it did not already own in AC. Additionally, an investor group comprised of Bndes Participacoes SA, Votorantim Industrial SA and Arainvest Participacoes SA, agreed to acquire a 47.242% stake in VC. |
| TARGET |
|---|
| Name | Aracruz Celulose SA (ARA) |
| Industries | Paper mills; Paperboard mills; Wood containers, nec; Forestry services; Wood products, nec |
| City | Jardim Paulistano, Sao Paulo |
| State | n/a |
| Nation | Brazil |
| Incorporated in | n/a |
| Public Status | Public |
| Business Description | Aracruz Celulose SA, located in Sao Paulo, Brazil, is a manufacturer of bleached eucalyptus, high-grade hardwood and eucalyptus pulp products. The company's products are mainly used in the manufacture of products such as tissue and high-quality printing, writing and specialty papers. It operates in Barra do Riacho, Rio Grande do Sul and Estado da Bahia. The company was founded in 1967. |
| Advisors | Citi |
| Target Sales | 1.91 billion U.S. Dollar
3.68 billion Brazilian Real |
|
| ACQUIROR |
|---|
| Name | Votorantim Celulose e Papel SA (VCP) |
| Industries | Paper mills; Converted paper and paperboard products, nec |
| City | Sao Paulo |
| State | n/a |
| Nation | Brazil |
| Incorporated in | n/a |
| Public Status | Public |
| Business Description | Votorantim Celulose e Papel SA, located in Sao Paolo, Brazil, manufacture paper products such as coated and uncoated printing and writing paper, thermal and carbonless paper and other specialty papers. The company also has activities in forestry management and exploration. It has four mills, located in the state of Sao Paulo. The company was founded in 1925. |
| Advisors | Estater Gestao e Financas; Banco Santander de Negocios SA |
| Acquiror Sales | 1.53 billion U.S. Dollar
2.95 billion Brazilian Real |
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