Cosan closer from taking NovAmérica
O Estado de S. Paulo 01/30/2009
Grupo Cosan is near closing the purchase of NovAmérica Agroenergia, the sugar and alcohol branch of Grupo NovAmérica, in order to consolidate itself as the largest sugar and alcohol conglomerate of the planet. According to sources, the ratification of the agreement is expected to become official until the end of February. The business should be carried out by transferring stocks of Cosan to the Rezende Barbosa family, controller of NovAmérica. The operation also includes an undisclosed financial value, besides a participation of executives of NovAmérica in the management council of Cosan. Cosan would already be carrying out the process of analysis of the data of NovAmérica, which should last 60 days, when the operation will be accomplished or not. The assessment may make the operation unfeasible, since Agência Estado has verified that Cosan is not confident about the financial indebtedness of NovAmérica Agroenergia. With the merger, Grupo Cosan would increase the total processing of sugar cane to 51 million tons, since its 18 units process 44 million tons of cane per harvest and the four sugar and alcohol units of NovAmérica process more than 7 million tons per harvest. With plants in the municipalities of Tarumã and Maracaí, in the state of São Paulo, NovAmérica Agroenergia started its growth in the sugar and alcohol sector with the acquisition of Copersucar's brand União in 2005. It also purchased refining units in Sertãozinho (SP) and Piedade (RJ). In 2006, it confirmed the construction of a plant in Caarapó (MS) and, in the following year, it purchased Destilaria Paralcool, in Paraguaçu Paulista (SP). Finally, in 2008, NovAmérica informed that it was negotiating the acquisition of Usina Pau D'Alho, in Ibirarema (SP), but gave up on the business because of the crisis.