SAO PAULO, March 9 (Reuters) - Brazilian pulp producer Suzano Papel e Celulose SA and the controlling shareholders of rival Fibria Celulose SA, who are in talks regarding a potential tie-up, still need to address structural and financial issues during negotiations, Suzano said on Friday.
The statement came in response to a report in local newspaper Valor Economico, which said the two parties were close to announcing a merger. Suzano said that given the issues that remain in the talks, it was “not possible to confirm the veracity of the news.”
Fibria reiterated in a filing released shortly after that its controlling shareholders, BNDES Participações SA and Votorantim Industrial SA, were in negotiations with Suzano. (Reporting by Gram Slattery and Ana Mano Editing by Chizu Nomiyama)