Guarani to Spend 767 Million Reais to Boost Sugar Processing
Guarani SA, a Brazilian sugar-cane processing unit of Tereos Internacional SA (TERI3), will invest 767 million reais ($475 million) to expand crushing capacity and boost power generation from cane waste more than fourfold.
Guarani plans to boost sugar-cane crushing capacity by 17 percent to 24.5 million metric tons in the next four years, up from 21 million tons now, Tereos said today in a regulatory statement. Power generation from cane waste known as bagasse will rise to 1,172 gigawatts from 259 gigawatts, the Sao Paulo- based company said.
The company received an 11-year, 764 million-real loan from Brazil’s development bank, known as BNDES, according to the statement. Guarani also got $560 million in syndicated loans to refinance debt from banks including Rabobank International, BNP Paribas, Banco Bradesco SA, Credit Agricole SA, Itau Unibanco Holding SA and Natixis.
Tereos Internacional is controlled by Lille, France-based Tereos. Petroleo Brasileiro SA’s Petrobras Biocombustivel unit paid 195.4 million reais to raise its stake in Guarani to 31.4 percent from 26.5 percent, according to today’s statement.
Tereos Internacional rose 1.6 percent, or 5 centavos, to 3.28 reais at 11:22 a.m. New York time in Sao Paulo trading.
To contact the reporter on this story: Lucia Kassai in Sao Paulo at firstname.lastname@example.org.
To contact the editor responsible for this story: Dale Crofts at email@example.com.