• Categories
  • Archives

Votorantim Acquires Ripasa, Consolidating Paper Industry in Brazil

Brazilian company Votorantim Celulose e Papel S.A., one of Latin America’s largest producers of pulp and paper, announced today that it has completed acquisition, jointly with Suzano, of a controlling stake in Ripasa S.A. Celulose e Papel.

On November 10, 2004, VCP and Suzano signed an agreement to buy the common and preferred shares in Ripasa directly and indirectly held by Ripasa’s controlling stockholders.


In today’s acquisition, 129,676,966 common shares and 41,050,819 preferred shares in Ripasa, representing 77.59% of the voting stock and 46.06% of the total stock, were transferred, on an equal basis, to VCP and Suzano, for a total amount of US$ 549.15 million.


A purchase option was also signed for the sale of 37,449,084 common shares and 12,388,719 preferred shares, totaling 22.41% of the voting stock and 13.45% of the total stock, to be exercised within six years, for a total amount of US$ 160.31 million.


Suzano and VCP say they will continue to be competitors in the markets in which they operate, preserving the independence of their activities.


Jose Luciano Penido, VCP’s Director-President said: “This transaction represents an important step for VCP’s consolidation in the world pulp and paper market.


“It confirms our leadership position in the domestic market for papers and increases our competitiveness as one of the lowest-cost producers of pulp. We are enthusiastic about this opportunity and certain that it will add value for our stockholders.”


“We are implementing the Company’s sustainable growth strategy, confirming that we are attentive to opportunities both for organic growth and also for growth via mergers and acquisitions, as a focus on VCP’s planning for the year 2020,” Mr. Penido said.


VCP is one of Latin America’s largest companies in the pulp and paper sector, focusing on market pulp, and printing papers. It is listed on the São Paulo and New York Stock Exchanges.


It has implemented an expansion plan which has increased its production capacity: for pulp, to 1.42 million tons, and for paper, to 685,000 tons.


Ripasa, listed at Corporate Government Level I on the São Paulo Stock Exchange (Bovespa), produces pulp, printing papers, writing papers, specialty papers, paper board and cardboard.


It has been operating in the sector for more than 45 years, directly employing more than 2,700 people, and is Brazil’s seventh largest producer of pulp, its fourth largest producer of writing papers, and its second largest producer of cardboard. 


Votorantim Celulose e Papel S/A
www.vcp.com.br


Ripasa S.A Celulose e Papel
www.ripasa.com.br


PRNewswire

Tags:

  • Show Comments (0)

Your email address will not be published. Required fields are marked *

comment *

  • name *

  • email *

  • website *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Ads

You May Also Like

Brazil Starts World’s First Recycling Plant for Carton Packaging

US-based aluminum manufacturer Alcoa announced yesterday that its Brazilian affiliate, Alcoa AlumÀ­nio, has joined ...

Brazilians Hit Record High in Satisfaction and Expectations

Brazilians have never been so happy with the present and so confident with the ...

Brazil Close to 1 Million Cars Converted to Use Gas

The Brazilian Petroleum and Gas Institute (IBP) maintains its forecast that, by the end ...

Brazil cattle

Brazil Gets Ready for Trade Mission in North Africa

Businessmen from Brazil interested in exporting to Northern Africa will be able to participate, ...

U.S. Hints that Any Brazilian Retaliaton Will Be Met With Fitting Response

Talking to reporters in Brazil, the American Deputy Secretary of State, Robert B. Zoellick, ...

Brazil’s Industry Shows Signs of Cooling Off

The rhythm of activity in the transformation industry in the second quarter of this ...

Some Believe It’s Latin America’s Turn and that Next Pope Will Be Brazilian

With Pope Benedict’s stunning announcement that he will resign at end of the month, ...

In Brazil, Women Become Majority in High School and College

Females already comprise the majority of students in secondary and undergraduate education in Brazil. ...

Brazil Breaks Up Ring Offering Sex Tour Packages

Yesterday the Brazilian Federal Police (PF) arrested a gang accused of sexual tourism in ...

Brazilian sugarcane cutter

World Won’t Buy Brazil Ethanol When It Finds Out How It’s Made, Says Congressman

Repercussions over Brazilian President, Luiz Inácio Lula da Silva, declaration earlier this week that  ...