Cosan Sells 4.05% Stake in Vale

Brazilian conglomerate Cosan has sold approximately 173 million shares of Vale S.A., representing a 4.05% stake, in a transaction valued at around 9 billion reais ($1.5 billion). The sale is part of Cosan's strategy to optimize its capital structure and reduce its debt by 40%, bringing it down to approximately 14 billion reais. Chairman Rubens Ometto emphasized that the decision was influenced by Brazil's high interest rates, currently at 12.25% and expected to rise further. Although the transaction may result in a financial loss, J.P. Morgan analysts view it positively as a demonstration of financial discipline. The move is also seen as a refocus on Cosan's integrated energy platform, which includes various subsidiaries and joint ventures. Despite Cosan's divestment, Vale is expected to maintain its strong position in the global mining sector.