BEST CORPORATE LIABILITY MANAGEMENT
After suffering derivative losses in the 2008-2009 crisis, Brazil’s Aracruz Celulose was purchased by Votorantim Celulose e Papel.
The union, christened
Fibria, had solid operations and was the worlds largest
pulp producer, but faced a massive task to refinance the 45% of
total debt that was coming due 2010-2011.
In all, Fibria faced $2.1
billion in derivative prepayments and $1.5 billion in other
refinancing needs. It would tackle these through the sale of
its Guaíba mill to Chiles CMPC for $1.43 billion,
a five and seven-year pre-export facility totaling $1.15
billion, and $1.00 billion in new 10-year bonds. Santander
advised the buyer on the sale closed in December 2009.
"We were able to retire all of our derivative debt by
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