Prumo announces capital increase - Porto do Açu


Prumo announces capital increase

Transaction ranges from 495 million to 740.6 million reais

Prumo Logística started yesterday (July 26) a capital increase in the amount of between 495,099,711.84 reais to 740,699,191.92 reais, through the issuance of shares at 6.69 reais each. A minimum of 74,005,936 and a maximum of 110,717,368 new common shares will be issued, nominative, and without nominal value issued by the Company.

The purpose of the deal is to reduce the company’s debt levels and strengthen its capital structure, reinforcing its cash position to face capital needs in the medium and long term to develop its activities.

The value of new shares to be issued was set at 6.69 reais each, defined in accordance with the weighted average during trading between May 26 and July 25, 2016 (a period of 60 days prior to the meeting of the Board of Administrators). All company shareholders as of July 29 may participate in the transaction.

Pursuant to article 171 of Law 6404/76, existing shareholders will be given pre-emptive rights to participate in the capital increase. This right can be exercised starting on August 1, 2016 during 30 days.

If there are any surpluses following the subscription period, the company may create additional subscription periods, in which shareholders who expressed their interest may participate.

Açu Port
Located in São João da Barra (Rio de Janeiro State), Açu Port has an area of 90 km², divided into Terminal 1 (T1 – offshore) and Terminal 2 (T2 – onshore), in addition to an area available for the installation of facilities by maritime and industrial companies.

T1 handles iron ore and crude oil, with berths built along 3 km of quayside. Operating since October 2014, the terminal welcomed more than 100 iron-ore ships for Anglo American (which operates in Conceição do Mato Dentro, Minas Gerais State) and handled more than 13 million tons. Prumo and Anglo American each own 50% stakes in a joint venture named Ferroport. T1 encompasses the Oil Terminal (T-OIL), with capacity to handle 1.2 mbpd, which starts cargo commissioning this month.

T2 is composed of the surrounding area of the canal for navigation, with 6.5 km in length, 300 meters in width and up to 14.5 meters in depth. Technip, NOV, InterMoor, Wartsila, Edison Chouest and BP-Prumo already operate their own facilities at the terminal. Including all investment since 2007, 13 billion reais have already been deployed on the enterprise, with 6.4 billion reais coming from Porto do Açu Operações (Prumo Logística subsidiary) and 3.7 billion reais from Ferroport and Anglo American. The remaining amount was invested on terminals by clients.