Petróleo Brasileiro S.A. (Petrobras) has signed a sale and purchase agreement with the Southern Cross Group for 100% of Petrobras Chile Distribuición Ltda (PCD), held through Petrobras Caribe Ltda.
The estimated cash inflow from the deal is US$464 million, divided as follows: US$88 million arising from the distribution of surplus cash before the transaction closed; US$367 million to be paid by Southern Cross on the day of closing; and a price adjustment payment of US$9 million, to be made within 65 working days after closing.
The deal’s completion is subject to compliance with certain prior conditions.
This transaction, carried out through a competitive bid process, is an important part of Petrobras’ 2015-2016 Disposal Plan.
Edited from press release by Angharad Lock