Brazilian Stock Movers: OGX, Tam, Ultrapar Participacoes, Vale
The following companies had unusual price changes in Sao Paulo trading. Stock symbols are in parentheses and prices are as of 4:15 p.m. New York time. Preferred shares are usually the most-traded class of stock.
The Bovespa Index rose 0.2 percent to 69,837.52.
OGX Petroleo & Gas Participacoes SA (OGXP3 BS) increased 1.7 percent to 20.27 reais. The oil company controlled by billionaire Eike Batista is benefiting from speculation a reserves report to be released by next week will boost growth prospects, said Rogerio Freitas, a partner at Rio de Janeiro- based hedge fund Teorica Investimentos.
Tam SA (TAMM4) (TAMM4 BS) advanced 0.8 percent to 31.22 reais. The airline may pay between $200 million and $250 million to purchase a 31 percent stake in rival Trip Linhas Aereas SA, Valor Economico reported, citing people close to the transaction whom it didn’t identify. Both companies declined to comment, according to the Sao Paulo-based newspaper.
Ultrapar Participacoes SA (UGPA3) (UGPA4 BS) gained 1.4 percent to 28.02 reais. The company’s board approved plans to convert all its shares into voting ones, according to a regulatory filing. The Brazilian fuels and petrochemicals group aims to be listed in the so-called Novo Mercado, a section of the Sao Paulo exchange with stricter corporate governance standards.
Vale SA (VALE3) (VALE5 BS) advanced 0.1 percent to 48.30 reais after earlier falling 0.8 percent. Controlling shareholders named Murilo Pinto de Oliveira Ferreira to replace Roger Agnelli as chief executive officer. Ferreira, who was president of Vale’s Canadian operations until 2008 before leaving the company, will take over on May 22 after Agnelli’s current mandate expires, according to a filing yesterday.
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