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Brazil's OSX exercises Batista put of up to $50 million
September 4, 2013 / 11:47 PM / 4 years ago

Brazil's OSX exercises Batista put of up to $50 million

RIO DE JANEIRO, Sept 4 (Reuters) - The board of OSX Brasil SA, the shipbuilding company controlled by embattled Brazilian tycoon Eike Batista, on Wednesday said it will exercise a put option valued at up to $50 million.

The option, voted upon by board members including Batista, will require Batista to inject as much as $50 million into the company in exchange for new OSX shares, the company said in a securities filing.

Batista, who until mid-2012 was Brazil’s richest person, has been selling parts of his energy, logistics and commodities empire to pay debts as the value of his companies collapsed over the past year because of missed production and earnings targets.

Over the past week, after five sales of stock, Batista trimmed his controlling stake in OGX Petróleo e Gás Participações SA, his flagship oil and gas company, to about 52 percent, according to the company and Thomson Reuters data.

If he were to purchase the full $50 million worth of new stock in the shipbuilder, it would represent about 6 percent of existing stock in OSX, increasing total control by Batista and his Centennial Asset Mining Fund LLC to about 73.6 percent. (Reporting by Jeb Blount and Luciana Bruno; Editing by Ken Wills)

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