| SAO PAULO, March 14
SAO PAULO, March 14 Construction conglomerate
Odebrecht SA is close to announcing the sale of its stake in Rio
de Janeiro's international airport to Canada's PSP Investments
Inc, a source with direct knowledge of the matter said on
The sale of Odebrecht's 60 percent stake in Rio de Janeiro's
airport operator RioGaleão is expected to bring a solution to an
impasse over debts with the Brazilian government.
RioGaleão, in which Singapore´s Changi Airports
International Pte Ltd also has a stake, needs to pay around 4
billion reais ($1.26 billion) to the government to maintain
rights over the terminal's management, the source said.
The value includes 1 billion reais in overdue payments to
the federal government.
Development bank BNDES has refused to extend credit to the
operator, controlled by Odebrecht's transportation unit, since
the conglomerate became the largest target of the widest-ever
corruption probe in Brazil three years ago.
Talks between Odebrecht and PSP Investments are in an
advanced stage, said the source, who asked not to be identified
because of the sensitivity of the information. The source
declined to disclose the price.
In a statement to Reuters, Odebrecht's transportation unit
said it is in contact with potential investors and is
considering selling its stake in the airport.
Representatives for PSP declined to comment.
RioGaleão said in a statement, "There are still ongoing
discussions to find a definitive solution to the business'
Brazil's federal government will demand that the new
shareholders provide fresh capital, the source said. According
to the same source, a presidential decree authorizing a change
in the schedule of debt repayment to the government may be
($1 = 3.1725 reais)
(Writing by Tatiana Bautzer; Editing by Leslie Adler)