BRASILIA, Nov 24 (Reuters) – Brazil’s emerging left-wing government will not take an interventionist stance on state-run oil company Petrobras (PETR4.SA).
Senator Jean-Paul Prats told reporters that the future government had no intention of causing the company’s “disintegration” and that everything would be discussed with the markets.
“There will be no autocratic attitude,” Prats said. “Things happen by talking to industries – banks, investors, employees. It is clear that we cannot have failures at any particular attribute level.”
Market participants are concerned about how the Lula administration can lead Petrobras.
This week, analysts at UBS downgraded their rating for the company from “buy” to “sell.” Doing laundry.
Prates, who emerged as Petrobras’ leading candidate after Lula’s victory over President Jair Bolsonaro in October, said the transition team was working to ensure there were no “interventionist measures” or “foot-in-the-door”- approach would be. company.
He indicates that changes to Petrobras’ current dividend policy will be discussed gradually.
Petroleo Brasileiro SA, as the company is formally known, announced a dividend of approximately 43.7 billion reais ($8.23 billion) in the third quarter. Reuters’ calculations represent an amount more than double the average shareholder benefit paid by each of the top five Western oil producers.
Prates said the Petrobras dividend was “completely anachronistic” when compared to global peers and Brazilian mining giant Vale SA (VALE3.SA).
He said: “It is not a matter of right or left, intervention or non-intervention. It is a matter of deciding whether the company should invest the money.” ,
He also said that the incoming government, not Petrobras itself, would create a new fuel pricing policy for the country. Lula will take office on January 1.
Shares of Petrobras, which are down nearly a quarter since mid-October, rose more than 4% on Thursday, outperforming Brazil’s Bovespa stock index (.BVSP), which rose 2.5%.
($1 = 5.3117 reais)
Reporting by Ricardo Brito; Edited by Steven Grattan and Marguerita Choy
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