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Brazil's Petrobras says could raise up to $26.9 billion through asset sales

Reuters  |  SAO PAULO 

(Reuters) - said on Wednesday that the Brazilian state-controlled company could raise $26.9 billion through asset sales and partnerships by 2023 as part of a new strategic plan calling for further debt reduction.

Among assets put up for sale are fertilizer plants, its liquefied petroleum gas unit and its biodiesel and ethanol businesses.

Petrobras, as the company is known, said in a securities filing that its ratio of net debt to adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) should fall to below 1.5 in 2020.

As part of its strategic plan, said it will also seek diversified sources and use of by 2040, such as solar and wind power.

The company also disclosed that its return on invested capital should be above 11 percent in 2020, as it will sell assets and cut debt.

The company said it could change its payout ratio depending on new investment opportunities and debt reduction, without providing further details.

(Reporting by Carolina Mandl; Editing by Christian Plumb)

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Wed, December 05 2018. 18:13 IST