Bloomberg News

Marfrig Bonds, Stocks Drop on Report Debt Payment May Be Delayed

May 25, 2012

Marfrig Alimentos SA (MRFG3)’s bonds and stocks fell as Valor Economico reported that the beef producer was in talks to postpone until 2015 a coupon payment of as much as 270 million reais ($134 million) to Brazil’s state-owned development bank due in July.

Yields on bonds due in 2018 jumped 109 basis points, or 1.09 percentage points, to 14.91 percent at 10:47 a.m. Sao Paulo time. Shares fell 1.2 percent to 8.62 reais.

The Valor Economico report didn’t say where it got the information. Marfrig declined to comment, while BNDES, as the development bank is known, said the debt payment terms haven’t changed, according to the Sao Paulo-based newspaper.

To contact the reporter on this story: Drew Benson in New York at

To contact the editor responsible for this story: David Papadopoulos at

Video Game Avenger
blog comments powered by Disqus