SAO PAULO, Oct 3 (Reuters) - Brazil’s Rio de Janeiro state, struggling with a cash crunch caused by plunging oil revenue, is looking for partners for water and sewage utility Cia Estadual de Águas e Esgotos SA, long a target of speculation for a full or partial sale.
In a Monday securities filing, the utility known as Cedae said a partnership with privately owned companies would aim at improving water and sewage services in several state cities. The filing did not elaborate on what companies might be involved in the plan or a timetable for the process.
Brazil’s federal government is encouraging debt-laden states like Rio de Janeiro to dispose of some assets to raise cash. According to a program to help the federal and regional governments sell non-essential assets, a divestiture of Cedae could take place within the next two years. (Reporting by Bruno Federowski and Guillermo Parra-Bernal; Editing by Sandra Maler)