Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

Batista’s MMX Soars Second Day on Asset Sale Outlook: Rio Mover

June 25 (Bloomberg) -- MMX Mineracao & Metalicos SA, the iron-ore producer controlled by Brazilian billionaire Eike Batista, posted the biggest two-day increase in more than four years as it seeks to sell assets to raise cash.

MMX surged 18 percent to 1.65 reais at the close of trading in Sao Paulo, extending its two-day gain to 30 percent, the most since April 2009. The stock led gains on the benchmark Ibovespa, which climbed 2 percent.

Glencore Xstrata Plc is among three companies in talks to buy some assets from MMX, two people with knowledge of the negotiations said last week. The Rio de Janeiro-based company said yesterday it hired advisers to sell assets to Brazilian and foreign investors, without naming any potential buyer.

“The shares are gaining on expectations of a possible deal,” Aloisio Lemos, an equity analyst at brokerage Agora Corretora in Rio, said in a phone interview. “That’s absolutely the driver of the stock at the moment.”

Batista is in advanced negotiations to sell a stake in MMX or some assets to a joint venture formed by Glencore and Grupo BTG Pactual SA, newspaper Valor Economico reported today, without saying how it got the information.

A spokesman for Baar, Switzerland-based Glencore declined to comment on the Valor article. BTG said it doesn’t comment on speculation in an e-mailed response to questions.

To contact the reporter on this story: Juan Pablo Spinetto in Rio de Janeiro at jspinetto@bloomberg.net

To contact the editor responsible for this story: James Attwood at jattwood3@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.