Emerging Brazilian Small Caps

[morokoy]

Credit Crisis in Brazil: Consumer Loan Rates Hit 47%, Defaults Soar, Debt Service Tops 50% of Disposable Income.
http://globaleconomicanalysis.blogspot.com/2011/07/credit-crisis-in-brazil-consumer-loan.html

[morokoy]

Chile Columbia Peru to merge exchanges
http://www.bloomberg.com/news/2010-11-09/chile-peru-colombia-to-start-trialing-combined-stock-trading-arrangement.html

[kuwlness]

Nice call. What's next?

[morokoy]

BOBS.ob
http://finance.yahoo.com/news/Brazil-Fast-Food-Announces-bw-533060718.html?x=0&.v=1

[kuwlness]

Anything new cooking over here? Havent heard much talk about Brazillian stocks lately.

[morokoy]

http://www.charlierose.com/view/interview/10851
Charlie Rose interview with Eike Batista.

[maxluke1]

TGS, This isn't Brazilian, but it is from Argentina.

Transportadora de Gas del Sur S.A. engages in the transportation of natural gas, as well as production and commercialization of natural gas liquids primarily in Argentina. As of December 31, 2008, it owned and operated 5,351 miles long pipeline system primarily serving gas distribution companies, power stations, and industries. The company?s production and commercialization activities are conducted at the Cerri Complex located near Bahia Blanca. Its natural gas liquid products comprise ethane, propane, butane, and natural gasoline. Transportadora de Gas del Sur also provides midstream services, including gas conditioning, gathering, and compression services, as well as engages in activities related to construction, operation, and maintenance of pipelines and compressor plants. In addition, the company, through its subsidiary, Telcosur S.A., offers telecommunication services, which include microwave network services and fiber optic services primarily to telephone operators and corporate users. The company was founded in 1992 and is based in Capital Federal, Argentina. Transportadora de Gas Del Sur S.A. is a subsidiary of Compania de Inversiones de Energia S.A.

I've seen several estimations for upcoming earnings bring the P/E to 2 or 3? Is this accurate. I noticed these guys have a ton of cash and debt. Anyone have any experience with this stock?

[bUrRpPPP!]

Yes...I think I only held them a week....tuff to remember....I make about 30 trades a day.

[ratobranco]

SID - In retrospect, did you ever get to sell those SID calls?

[morokoy]

LOS ANGELES (MarketWatch) October 20, 2009 -- Brazilian stocks and the country's currency tumbled Tuesday following the government's decision to impose a tax on foreign fund inflows into securities, a move aimed at tamping down the surge in the markets.

Brazil's Bovespa index fell 2.9% to 65,303.11, its worst percentage decline since late June, but managed to fight its way back from an intraday fall of nearly 5%. The broad-based sell-off saw all of the 65 listed shares languish in the red.

Shares of stock exchange operator BM&F Bovespa were hit the hardest, registering losses of 8.4%.

80,00060,00040,00020,000021Shares of market heavyweight Petrobras /quotes/comstock/13*!pbr/quotes/nls/pbr (PBR 46.29, -0.27, -0.58%) fell 2% and mining company Vale /quotes/comstock/13*!vale/quotes/nls/vale (VALE 27.44, -0.01, -0.04%) fell 2.2%. Outside of the broader tax issue, investors assessed the iron-ore giant's investment plan of $12.9 billion in 2010, representing a 29% climb from investment in the 12 months ending in June of this year.

The Brazilian Finance Ministry late Monday imposed a 2% tax on foreign purchases of fixed-income securities and equities, effective Tuesday. Guido Mantega, Brazil's finance minister, reportedly said that the government wants to reign in "speculative" investment and to "favor production."

The currency took a 2.2% hit on Tuesday, with one U.S. dollar buying 1.749 reals compared with 1.711 reals on Monday.

"This is the usual reaction coming from foreign investors, particularly, when they know that the government is trying to lift barriers on capital inflows," said Alfredo Coutino, director of Latin American research at Moody's Economy.com. "Every time a government imposes capital controls, investors overreact but then they forget about it."

In ETF action, the iShares MSCI Brazil Index /quotes/comstock/13*!ewz/quotes/nls/ewz (EWZ 73.34, -0.03, -0.04%) closed with a 3.8% decline, clawing back from an intraday loss of more than 6%.

Last year, the government levied a 1.5% tax only on investment in fixed-income securities, but it was pulled as part of the government's response to the worldwide financial crisis.

The size and the breadth of the new 2% tax was larger than had been expected by investors, said RBC Capital Markets in a note late Monday, adding that it had cut its position on the real to underweight in its model portfolio.

The currency had been up about 38% against the dollar since the start of this year and the Bovespa was up nearly 80% before new tax was announced.

"The real weakened on the [tax] news, but it's still up for the year so you have to look at any weakness in the context of how strong everything has been," said David Riedel, president of Riedel Research Group, which specializes in emerging-market equity research.

Riedel said the tax move also signals the government's desire to "get away from being just a commodities player. They are willing to sacrifice their exports a little bit by having their currency up so much already, but they don't want it to go up too fast. But this is a reminder that these markets are up a lot, and policymakers are going to start to react."

The impact of the so-called IOF tax is likely to last for a short-term, but evidence from Brazil and other countries "suggests that taxation of inflows is not effective as a tool to permanently alter the exchange rate," wrote Itau Unibanco economists Aurélio Bicalho and Ilan Goldfajn in a note to clients Tuesday.

Itau Unibanco, the largest non-government run bank in Brazil, reiterated its forecast for Brazil's currency to settle around 1.70 at the end of this year, "and stable in real terms thereafter."

Elsewhere in Latin America, Mexico's IPC reversed earlier losses and rose 0.2% Argentina's Merval lost 0.3% and Chile's IPSA shed 0.3%.
Carla Mozee is a reporter for MarketWatch, based in Los Angeles

[bUrRpPPP!]

Looking to try the SID calls again....waiting for the chart to bottom....

[GorillaGorilla]

SDA - I followed it for a while.. think it was a meat producing company that thought it was a financial house and made huge derviative bets and lost big money... Think they got bought up..

rich

[bUrRpPPP!]

Im just getting started here....

[morokoy]

Any idea what happened to ARA BRP TCN TMB VCP SDA

SDA was Saadia, pork producer that I did some trades with, then it disappeared!!

[morokoy]

ABV BAK BBD BIK BKF BOBS.OB BRF BRFS BTM CBD CIG CPL CZZ EBR ELP ERJ EWZ GFA GGB GOL ITUB NETC PBR SBS SID TAM TNE TSP TSU UBB UGP VALE VIV

[bUrRpPPP!]

Brazilian steel producer Companhia Siderurgica Nacional (SID | Friday announced the launch of a public offer to acquire cement manufacturer Cimentos de Portugal, SGPS, S.A. (CDPGF.PK)for EUR 5.75 per share. Companhia's bid values Cimentos de Portugal at EUR 3.86 billion, or $5.56 billion.

Cimentos de Portugal, or Cimpor, is a Portuguese company with presence in 13 countries in 4 continents including Europe, Asia, South America and Africa. In terms of market cap, Cimpor is within the top 10 largest cement makers in the world.

Cimpor occupies important positions in Brazil, Egypt, China, Spain, Turkey, South Africa, Tunisia, Morocco, India and Peru. In Brazil, it is ranked 3rd in terms of sales and 4th in production capacity. The company has also consistently recorded one of the highest EBITDA margins in the sector. Cimpor's operations in emerging markets currently account for around 60% of its revenues with substantial growth potential.

In 2008, Cimpor recorded net income of EUR 219 million, EBITDA of EUR 586 million and revenue of EUR 2.1 billion. As on September 30, the company had a total net debt of EUR 1.8 billion.

Companhia said it intends to acquire 100% of Cimpor's 672 million shares directly or indirectly through one or more of its subsidiaries. Companhia may use part of its available cash and/or finance part or all of the acquisition with financing lines from first-tier banks. The conclusion of the offer will be subject to acceptance by shareholders holding at least 50% plus one of the shares of Cimpor's capital stock. Companhia said that it expects to work together with Cimpor's management to successfully conclude the transaction.

Commenting on the acquisition, Chief Executive Officer Benjamin Steinbruch, Companhia stated, "Within CSN's business focuses, this is one of the best diversification and internationalization opportunities we have come across in markets with enormous growth potential."

Companhia is the second major steel company in Brazil and one of the largest in South America in terms of crude steel production. The company produces a broad line of steel products, including slabs, hot- and cold-rolled, galvanized and tin mill products. It is considered as one of the most productive steel-makers in the world, producing more than 6 million tons of raw steel and more than 5 million tons of laminates per year. Companhia also accounts for approximately 49% of the galvanized steel products sold in Brazil.

Companhia's steel products are being sold to customers in Brazil and 71 other countries in North America, Europe, and Asia.

According to Companhia, the acquisition will lead to the formation of one the world's largest cement producers, with an annual production capacity of 36 million tonnes of cement. The transaction will also expand and consolidate Companhia's presence in the cement segment, besides its leading position in the steel, mining and logistics segments. Companhia believes the transaction will increase its diversification in terms of products, new markets and geographical asset location, while reducing risks and adding value to its shareholders.

Last month, Companhia reported a sharp increase in its profit for the third quarter, despite lower revenues, helped mainly by a gain from foreign exchange variations, financial income and income from other operations. The company's net income for the quarter was R$1.15 billion, compared with R$39.63 million in the previous year. Net revenue declined to R$2.98 billion from R$4.03 billion a year ago. Steel sales volume for the period was up 4%, but crude steel production decreased 12% in the quarter.

SID is trading at $31.51, down $1.90 or 5.69%, on a volume of 3.94 million shares on the NYSE.

For comments and feedback: contact [e-mail] Copyright(c) 2009 RTTNews.com, Inc. All Rights Reserved


For full details on Companhia Siderurgica Nacional S.A. (SID) click here. Companhia Siderurgica Nacional S.A. (SID) has Short Term PowerRatings of 4. Details on Companhia Siderurgica Nacional S.A. (SID) Short Term PowerRatings is available at This Link.

[ratobranco]

Smart.

[bUrRpPPP!]

Picked up Jan $35 calls @ .50 ticker sidag

[bUrRpPPP!]

SID NEWS...Brazil Steel CSN Targets Portugal Cement Company For Growth

RIO DE JANEIRO -(Dow Jones)- Brazilian steel company CSN's EUR3.86 billion takeover bid for Portuguese cement company Cimpor is aimed at growth, global projection and strengthening its presence in the cement industry.

"It is one of the best opportunities to diversify and internationalize our business in markets with great growth potential," CSN President Benjamin Steinbruch said in a statement Friday.

CSN, known formally as Companhia Siderurgica Nacional (SID), launched a EUR5.75 a share bid for 100% of Cimpor, or Cimentos de Portugal SGPS SA (CPR.LB), in a Portuguese regulatory filing Friday.

"The acquisition of Cimpor would give us access to mature markets," CSN said in a statement.

The offer represents a 5.1% premium over Cimpor's Thursday closing price of EUR5.47 and is conditional on gaining acceptance from holders of 50% plus one of the company's shares.

CSN scheduled a Web cast to explain its plans, but later canceled. A CSN spokeswoman said the Web cast was canceled indefinitely.

CSN started operating its own Brazilian cement plant in May 2009 with initial output of 300,000 metric tons a year, rising to 1 million tons in 2010 and 2.5 million tons in 2011.

Cimpor is Brazil's third largest cement company, with installed capacity of 5.8 million tons in Brazil.

While CSN is well-placed to serve Brazil's densely-populated industrial south east, Cimpor also has plants in the southern and northeastern areas of the country.

Cimpor's total capacity is 36 million tons a year. Outside of Brazil, Cimpor has markets in Portugal; Cape Verde, Mozambique; Egypt, China, Spain, Turkey, South Africa, Tunisia, Morocco, India and Peru.

In early morning trading on the Sao Paulo Stock Exchange, or Bovespa, CSN shares were down 3.92% at 56.31 Brazilian reals ($31.28), while the broader Ibovespa index was 0.86% lower at 66,489 points.

[bUrRpPPP!]

SID CHART...big hit today....

[ratobranco]

SID drop, what do people think? Haven't done the DD on CIMPOR, but this may be an opportunity.

[bUrRpPPP!]

BOBS chart....chart does not suggest any dilution or any one big seller unloading....just a quiet stock in consolidation mode....bollies getting tighter so maybe in another week or 2 if some news breaks she could run again......

[handbelleditor]

BOBS - the problem with this one is for now, at least, it has very low volume.

[handbelleditor]

BOBS - Good article that you referenced on SA

http://seekingalpha.com/article/165718-brazil-the-only-market-worth-investing-in?source=trans_lb_articles

BOBS looks very interesting, I'm trying to pick up a starter position at the bid (4.80)

Great board idea. I've done very well in EWZ and BRF during the last year. I sold an India ETF this morning and added to BRF.

Best to all!

[bUrRpPPP!]

Just getting started here...but any help is appreciated!

[Argyll]

Ok, which stocks are under $1.00?

[bUrRpPPP!]

Nothing wrong with spreading out some profits....

[pos_stock_hoarder]

Interesting article and great board idea.

I'm pretty well tied up in Chinese picks now, but will be looking at this board going forward with an eye for diversifying (on a national basis, that is!)

GLTY.

[bUrRpPPP!]

Here's a good list of Brazilian stocks trading on our exchanges...... ABV BAK BBD BRFS BTM CBD CIG CPL CZZ EBR ELP ERJ GFA GGB
GOL ITUB NETC PBR SBS SID TAM TNE TSP TSU UGP VALE VIV

[bUrRpPPP!]

Seeking Alpha picks for Brazilian stocks is very impressive....

http://seekingalpha.com/article/165718-brazil-the-only-market-worth-investing-in?source=trans_lb_articles

[bUrRpPPP!]

With the 2016 Olympics coming to town we should be able to jump on some big multi-baggers.....

[bUrRpPPP!]

CZZ CHART .......

[bUrRpPPP!]

CZZ Cosan Limited, through its subsidiaries, engages in the production and sale of sugar and ethanol in Brazil and internationally. The company also involves in the distribution of oil products, including ethanol, lubricants, and aviation fuel, as well as the operation of convenience stores through a network of 1,500 service stations in Brazil. It offers a range of sugar products comprising raw, organic, crystal, and refined sugars. The company sells sugar to wholesale distributors, food manufacturers, and retail super markets under the Da Barra brand. Its principal ethanol product is fuel ethanol, which is used as an automotive fuel and as an additive in gasoline. The company also produces and sells hydrous and anhydrous, and industrial ethanol; and sells liquid and gas ethanol products, which are used primarily in the production of paint and cosmetics, and alcoholic beverages for industrial clients. In addition, it involves in selling cogeneration of electricity and diesel. Cosan Limited was incorporated in 2007 and is based in Sao Paulo, Brazil.

[ratobranco]

MRVNY.PK - Interesting Brazilian Small Cap

MRV Engenharia Participacoes ADR. Homebuilder similar to Gafisa (GFA).

http://www.mrv.com.br/

For your DD:

http://ri.mrv.com.br/ri/pdf/en/DR2009T03.pdf

[bUrRpPPP!]

BFR chart looking real good here....

[bUrRpPPP!]

EWZ CHART Brazilian etf very strong....

[bUrRpPPP!]

CCG Investor Relations and Brazil-Based MZ Consult Announce Strategic Partnership

Leading IR Firms Join Forces to Address Explosive Growth of Emerging Markets with Unique “One-Stop-Shop” IR Solution

New York & Sao Paulo, Brazil—December 16 -- CCG Investor Relations (“CCG”), a leading global investor relations and strategic communications agency, today announced a joint venture with MZ Consult New York LLC, an affiliate of MZ Consult Servicos e Negocios LTDa., Brazil’s leading investor relations and financial communications firm.



Together, the two firms service in excess of 300 clients in over 20 countries and maintain a presence in leading investment centers including New York, Los Angeles, San Francisco, Beijing, Shanghai, Hong Kong, Tel Aviv, Frankfurt, and Sao Paulo. Under the agreement,

CCG Investor Relations will provide integrated investor relations consulting, including road shows, perception studies, investor targeting and media relations services to MZ Consult's South American-based clients. MZ Consult will offer a comprehensive suite of technology, data and consulting services to CCG Investor Relations’ clients in the United States, China and Israel.



“Both CCG and MZ share the conviction that in an era of globalized capital flows and enormous transactional activity and value creation in the emerging markets, the leading global corporations of tomorrow require a strategic partner to guide them to success,” said Crocker Coulson, President of CCG Investor Relations. “MZ is the undisputed leader in investor relations in South America, and by joining forces we believe we are the only global IR firm able to provide a ‘One-Stop-Shop’ solution that combines high level consulting, financial communications, direct reach to the world’s capital markets, world-class media relations and comprehensive technology and data solutions. Looking at global flows of capital in 2009, US equities experienced a negative flow of 31 percent, while emerging markets experienced positive inflows of 16 percent. We believe this underlying trend will be sustained for many years."



“After evaluating all the significant independent players in the IR field, we partnered with CCG to assist us in our global expansion efforts and help us further integrate our technology offerings. We could not fail to notice that CCG has achieved a leading market position serving U.S.-listed companies in China and Israel and is rapidly expanding into other markets. We believe our combined offering will be powerful, unique and will resonate with the needs of the market today,” said Rodolfo Zabisky, CEO of MZ Consult.



“This partnership matches the leading investor relations firm in the U.S with the leading investor relations agency in South America. Together we look forward to providing our joint clients with innovative, high performance services to enhance the visibility, liquidity and institutional sponsorship in the U.S capital markets,” said William F. Coffin, Chairman & CEO of CCG Investor Relations.



Technology Services include:

* Conference Calls and Webcasts: Comprehensive communications service packages including conference calls, audio and video pre-recording and editing, webcasts and transcriptions.

* Corporate and Investor Relations (IR) Websites: Developing, maintaining and operating industry leading websites, including hosting and 24 hour support services, interactive XBRL data and modeling tools, search engine optimization, social media, interactive and web video features to create a compelling user experience.

* Edgar Filing Services: Multilingual assistance available around-the-clock to convert and file documents with the SEC.

* XBRL: Services include conversion of documents to SEC-compliant XBRL for live filings, tagging and mapping of data to appropriate taxonomy concepts, and XBRL consultancy and training, among other services.

* Investor Relations CRM- Software to define key IR metrics including trends in the shareholder base, history of investor relationships, and activities and assessments to improve the effectiveness of the IR team.

* Online Annual General Meetings – A fully secure and auditable platform for AGM and proxy voting with digital certification.

* Corporate Governance Platform – An integrated and secure platform by which the board of directors can execute all important business of the board, monitor and impact corporate governance, and maintain a central resource for matters regarding shareholder perceptions, trading decisions and value creation.

* Online Investor Perception Tools – To provide detailed insight and valuable metrics regarding how the company, the board and management are perceived by both institutional and retail shareholders.

* Direct-to-retail Electronic Campaigns – To support enhanced liquidity and retail investor support through an integrated suite of targeted web-based push technology, virtual road shows, and mass electronic communications.


In the coming quarters the partners plan on announcing additional, exciting steps in the global expansion and solutions offered to public companies around the world.


About MZ Consult

MZ Consult is a global benchmark for financial communications and investor relations, with over 300 clients in 10 countries. MZ provides crucial support for its clients’ integrated investor relations and financial communication needs, implementing global IR programs and ensuring excellence in IR websites. It is also renowned for its exclusive program: IR Global Rankings™ and Divulgacao Exemplar ™ . www.mz-ir.com



About CCG Investor Relations

CCG is a leading global investor relations and strategic communications consulting firm. In business for more than 30 years, the agency provides a complete range of investor communications, counseling, and IT and data solutions through our global network to over 300 clients across multiple capital markets. CCG has been awarded a number of industry honors for its handling of complex investor relations and crisis communications matters. The agency's corporate headquarters is in Los Angeles with additional offices in New York, Beijing, Shanghai, Frankfurt, São Paulo and Tel Aviv. For further information, contact CCG directly, or visit the Company's web sites at http://www.ccgir.com and http://www.ccgirasia.com.

[bUrRpPPP!]

Welcome welcome step right up!