Suzano purchase Fibria and creates giant pulp and paper

São Paulo – the BNDES (Banco Nacional de Desenvolvimento Econômico e Social) approved, on Thursday, the merger between Fibria and Suzano Papel e Celulose. The consolidation of the two largest producers of pulp, the country transforms the resulting company a world leader in cellulose. The Paper Excellence, who was also in the running, presented on the night of last Thursday a new takeover proposal, which was rejected. The operation, according to statement released by the BNDES, was coordinated by the BNDESPar, banco de fomento which holds participation both in Suzano, as in Fibria. "The negotiations were conducted in agreement with Votorantim S/A, with which the BNDESPAR shares the Fibria's control". The bank informs that will receive "significant proportion" of the cash deal, some R $8.5 billion, and the receipt of the company's shares. The result of the merger, according to the statement, consolidates the BNDES's strategy of monetizing the appropriate prices stockholdings mature big business and allows the cash generation for new investments in startups and companies scaleups. See note from BNDES in full "the Banco Nacional de Desenvolvimento Econômico e Social (BNDES), through your subsidiary of shareholdings, the BNDESPAR, approved the consolidation between companies Suzano and Fibria. The negotiations were conducted in agreement with Votorantim S/A, with which the BNDESPAR shares control of the Company. The operation consolidates the two largest companies of pulp and transforms the resulting company the world leader in market pulp. The composition of the payment to BNDES reconciles receiving significant part in money, some R $8.5 billion, and the receipt of the company's shares, with the prospect of appreciation from the synergic and productivity gains arising out of the transaction. In this way, the BNDES gives continuation to your corporate strategy of monetizing the appropriate prices stockholdings mature large companies, allowing the generation of cash for new investments in funds supporting companies and startups scaleups, among others. The operation is fully guaranteed by a consortium of private banks and your conclusion is subject to approval from antitrust agencies. History-the end of negotiations concludes successful cycle of BNDESPAR's stake in Fibria, which began in 2009, with contribution of capital for the creation of the company resulting from the combination of Votorantim Celulose e Papel and Aracruz Celulose. Since then, Fibria obtained results in several dimensions, since the strengthening of governance practices — notably the migration to the new market — the robustecimento of your capital structure and obtaining the investment grade. The actions prepared the company for a cycle of expansion that resulted in the strengthening of national industry and generated an increase in exports, with trade balance reflexes and generation of jobs.