Brazil, Monday, November 13, 2006 .- Brazilian diversified miner CVRD (NYSE: RIO) plans to offer 10-year and 30-year notes on global capital markets through wholly owned subsidiary Vale Overseas, the miner said in a statement. Proceeds would repay “a portion of the amounts outstanding under its two-year senior acquisition facility” used to finance the acquisition of Canadian nickel miner Inco, CVRD added.
The notes will be unsecured obligations of Vale Overseas and fully and unconditionally guaranteed by CVRD.
CVRD acquired control of Inco last month and currently owns 86.57% of its issued and outstanding common shares on a fully diluted basis.