Petrobras Biocombustível S.A., a wholly owned subsidiary of Petrobras, has announced an agreement to sell its shares in Guarani S.A., a Brazil-based sugar and ethanol producer, to Tereos Participations SAS, a company under French group Tereos, for $202 million.

According to Petrobras, Guarani is the third largest sugar producer in Brazil. It operates eight production facilities, including seven in Brazil and one in Africa. Tereos, a partner of Petrobras Biocombustível in Brazil, is the third largest sugar producer in the world.

Petrobras first announced it was beginning negotiations with Tereos in October regarding the sale of its 45.9 interest in Guarani. 

The transaction is related to Petrobras’ plan, announced in 2016, to withdraw from biofuel production and several other industrial segments, allowing the company to focus on oil and gas.

Fount: http://ethanolproducer.com/articles/14027/petrobras-sells-its-shares-in-guarani-to-tereos