Yesterday, shareholders of Sete Brasil, an offshore equipment manufacturer that was heavily invested in the Brazilian oil sector with support of giants such as BTG Pactual and pension funds Funcef and Petros, approved the company judicial recovery request, to be filed next week. The request followed a failed attempt to negotiate a beneficial contract with Petrobras that stalled after an agreement on the number of offshore vessels was not reached. Sete Brasil took on high levels of debt to build 28 vessels on top of its US$ 4.8 billion banking debt. Sete Brasil will have two months to present a recovery plan to creditors once the request is approved.
Source: Folha de S. Paulo