Dec. 16 (Bloomberg) -- MMX Mineracao & Metalicos SA, the iron-ore miner controlled by Brazilian billionaire Eike Batista, posted the biggest gain in almost two weeks after saying its Serra Azul unit has 997.4 million tons of ore reserves.
MMX advanced 2.5 percent to 6.48 reais at the close in Sao Paulo, the largest increase since Dec. 5.
The company, in a regulatory filing yesterday after the market closed, said SRK Consulting certified the reserves at the unit. The disclosure boosts investor confidence in MMX’s expansion plans, according to Itau Unibanco Holding SA, which reiterated its “outperform” recommendation on the stock.
“MMX is uniquely positioned to deliver its expansion plans,” Marcos Assumpcao, an analyst at Itau, wrote in a note to clients today. “The company will increasingly grab investor attention, given its attractive risk-reward proposition.”
To contact the reporter on this story: Alexander Cuadros in Sao Paulo at firstname.lastname@example.org
To contact the editor responsible for this story: David Papadopoulos in New York at email@example.com