SAO PAULO (Reuters) - China Paper Holdings (CPHL.SI) has joined a group of companies competing to buy control of Brazilian pulpmaker Eldorado Brasil Celulose SA, Folha de S. Paulo newspaper reported on Wednesday.
The Chinese state-run company would be prepared to pay 16 billion reais ($5.06 billion) for a 100 percent stake, Folha reported without stating the source of the information.
That figure would top Indonesia’s Asia Pulp and Paper Group, which reportedly placed a 15 billion real bid, Folha said.
J&F Investimentos SA, Eldorado’s owner, did not immediately respond to a request for comment. China Paper and Asia Pulp and Paper Group also did not respond to emailed requests for comment.
Eldorado was put on the block after the family that controls it, ensnared in a corruption scandal, announced an asset sale plan that included meatpacking assets in South America, a cattle feedlot in the United States and a food company in Europe, all of which are operated by food company JBS SA (JBSS3.SA)
J&F started to receive new bids for Eldorado earlier this month, after the end of an agreement to negotiate exclusively with Chile’s Copec SA, owner of a business unit in Brazil known as Arauco.
Since the end of the exclusive talks, Brazil’s Fibria SA (FIBR3.SA), an unidentified Asian buyer and Indonesia’s Asia Pulp placed bids.
Reporting by Ana Mano; Editing by Bill Trott