September 13, 2012 / 2:00 AM / 5 years ago

Brazil's Batista scraps LLX share buyback after valuation

* BAML says LLX shares worth more than double current price

* Company to remain listed on Sao Paulo stock exchange

Sept 12 (Reuters) - Brazilian billionaire Eike Batista has cancelled plans to buy back shares in and delist his logistics company LLX, the company said in a securities filing late on Wednesday, after an independent valuation said the shares were worth more than double the 3.30 reais ($1.63) he had proposed to pay.

Bank of America Merrill Lynch, which was approved by LLX shareholders last month to provide an independent share price valuation, put the worth of the shares at 6.94 to 7.63 reais each.

"Considering this valuation, Mr. Batista has informed the company of his decision not to proceed with a public repurchase of up to the totality of the company's shares in circulation and cancellation of its registration as a public company," the filing said.

BAML's valuation was announced well after market close on Wednesday. The shares rose 1.3 percent on Wednesday on Sao Paulo's BM&FBovespa stock exchange prior to the announcement to 3.17 reais.

LLX is part of Batista's EBX conglomerate which includes oil producer OGX and energy company MPX, all of whose shares had been hit this year by concern over whether Batista could deliver on ambitious expansion plans.

A Canadian teachers' pension fund had planned to join Batista in purchasing some of the shares.

$1 = 2.0209 Brazilian reals Reporting by Peter Murphy; Editing by Eric Meijer

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