BP bids $466 mln for Brazil cane group stake-paper

Reuters Africa
Fri Nov 12, 2010 3:04pm GMT

* BP wants 50 pct of sugar/ethanol producer - report
* Purchase would be BP's 2nd foray in Brazil ethanol

SAO PAULO, Nov 12 (Reuters) - BP (BP.L: Quote) has bid 800 million reais ($466 million) for a 50 percent stake in Brazil's Cerradinho sugar and ethanol group, a Brazilian newspaper reported on Friday.

Talks between the companies started a few months ago and should be concluded on Friday, when Cerradinho's board is expected to give a definitive answer to the proposal, O Estado
de S.Paulo newspaper said.

If Cerradinho rejects the deal, talks could be resumed with other groups interested in the firm such as Bunge (BG.N: Quote), Cosan (CSAN3.SA: Quote), Tereos (TERI3.SA: Quote), Noble (NBL.N: Quote) and Louis Dreyfus, the newspaper said.

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