UPDATE 1-Petrobras shares jump on report of plans to sell Braskem stake

Mon Apr 13, 2015 11:34am EDT

UPDATE 1-Petrobras shares jump on report of plans to sell Braskem stake

(Reuters) – Shares in Brazil’s Petrobras rose 6 percent on Monday after local media reported that the state-run oil company plans to sell a stake in petrochemicals firm Braskem SA for around 2.8 billion reais ($903 million).

The report in Broadcast, the real-time news service of newspaper Estado de S. Paulo, did not name any potential buyers or say at what stage the sales process was. It cited market sources saying Petrobras might find it hard to rally interest in the asset.

Petroleo Brasileiro SA, as the oil company is formally known, is looking to sell assets worth as much as 13.7 billion reais this year as it tries to strengthen its balance sheet in the midst of a massive corruption scandal and a plunge in oil prices.

Shares in Braskem were down 1 percent in morning trade in Sao Paulo.

Petrobras is the second largest shareholder in Braskem with a stake of 36.1 percent and controls the Petrochemical firm along with one of Brazil’s largest construction firms, Odebrecht SA, which has a 38.3 percent stake.

Braskem has a market value of 7.9 billion reais, according to Thomson Reuters data.

Spokesmen for Petrobas and Braskem had no immediate response to a request for comment on the Broadcast news story.

($1 = 3.10 Brazilian reais) (Reporting by Stephen Eisenhammer Editing by W Simon)

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