October 17, 2017 / 11:12 AM / 2 years ago

Brazil's Gerdau mulls raising $630 mln with U.S. deal -report

BRASILIA, Oct 17 (Reuters) - Brazilian steelmaker Gerdau SA could raise about 2 billion reais ($630.48 million) with the potential sale of rebar-producing facilities in the United States this year, newspaper Valor Econômico reported on Tuesday.

The report, citing two market sources, said Gerdau expects to sell its Rancho Cucamonga, Sayreville and Knoxville units to U.S.-based Commercial Metals Company (CMC) by the end of the year. Gerdau’s Jacksonville and Beaumont facilities were also up for sale, the paper added.

The potential deal would help the largest steelmaker in the Americas cut debt, according to the newspaper.

Gerdau earlier this month agreed to sell a Chilean long steel unit to local firms Matco SA and Ingeniería & Inversiones SA for about $154 million.

Preferred shares, the company’s most widely traded class of stock, were up about 6 percent year-to-date.

Gerdau media representatives did not respond to an emailed request for comment. Valor Econômico said the company would not comment on market speculation.

$1 = 3.1722 reais Reporting by Silvio Cascione; Editing by Bernadette Baum

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below