BPCL signs definitive agreements to fully acquire Brazil-based oil and gas firm

It will help BPCL take full ownership of its Brazil-based oil and gas joint venture after the transaction receives the required registration from authorities in Brazil.

BPCL said the acquisition involves the entire shareholding held by Videocon Energy Brazil Limited (VEBL) in IBV Brazil Petroleo Limitada and is being carried out under the Corporate Insolvency Resolution Process of VOVL Ltd.

"We hereby inform you that BPRL Ventures BV has now executed definitive agreements for the acquisition of the entire shareholding of VEBL in IBV Brazil Petroleo Limitada, in accordance with the Corporate Insolvency Resolution process of VOVL," the company said in a stock exchange filing.

BPCL said all approvals required from the Government of India for the transaction have already been received.

The company said BPRL Ventures BV held 65.40 per cent of IBV Brazil Petroleo Limitada immediately before signing the definitive agreements. "On completion of the aforesaid acquisition, IBV Brazil Petroleo Limitada shall become a wholly owned subsidiary of BPRL Ventures BV," it added.

The acquisition, however, is still subject to the necessary registration by the appropriate authorities in Brazil.

"IBV Brazil Petroleo Limitada holds participating interests in oil and gas concessions in Brazil including BM-Seal-11 concession, which is currently progressing with development activities and the aforementioned transaction will support the energy security of the nation," the filing said.

The company said it will disclose further details of the acquisition after the required registrations for the transaction are completed.

The transaction follows an earlier order of the National Company Law Tribunal (NCLT), which had approved the acquisition of VEBL's stake in the joint venture as part of the insolvency resolution process of VOVL Ltd, the filing added. (ANI)