Brookfield in talks to buy Odebrecht’s Brazil toll roads: Reuters

Canada’s Brookfield Asset Management is in talks with Odebrecht SA to acquire seven Brazilian highways operated by the conglomerate’s transportation unit, two sources with knowledge of the matter said on Thursday.

Brookfield and Odebrecht signed an exclusivity agreement to negotiate the acquisition, the sources said on condition of anonymity because they were not authorized to speak publicly on the matter.

Brookfield and Odebrecht declined to comment.

Odebrecht has rights to operate 1,712 kilometres (1,064 miles) of seven different highways in five Brazilian states. One of the largest is the Rota das Bandeiras, in Sao Paulo, Brazil’s richest state. The source gave no details of the deal’s value.

Odebrecht agreed with creditors two months ago to accelerate asset sales as a corruption scandal raised financing costs.

The conglomerate, as part of a US$3.5 billion settlement with Brazilian, U.S. and Swiss authorities, has admitted to bribing officials in 12 countries.

By Tatiana Bautzer

(Editing by Matthew Lewis)

Photo courtesy of Reuters//Janine Costa