Saieh buys first chunk of Ripley

Alvaro Saieh has bought into Ripley, acquiring a 5% stake 95 days ahead of the deadline he and the Calderon family had thrashed out not so long ago (early May 2009). The owner and controller of the supermarket chain SMU and also the financial group Corpbanca, Saieh is still negotiating his entry into the controlling shareholders' pact regarding the retail chain Ripley. He has spent US$44.3mil on the stake and can buy a further 15% of Ripley from Marcelo Calderon before the end of November. If the option is taken up, Calderon will receive US$178mil for a 20% stake (until yesterday, he owned 42% of Ripley); if Saieh is also welcomed into the pact before December, Calderon will receive US$198mil for the stake.

Publication: SABI - Business News
Provider: South American Business Information
September 1, 2009

Besalco begins building new housing projects

Chilean construction group Besalco is reactivating its property-sector plans and studying new energy-sector opportunities. Diversification enabled the company to double its profits in the first half of 2009, its general director, Paulo Bezanilla, noting that the capital increase of almost Peso$30bil planned for early September should give the firm the wherewithal to benefit from the economic green shoots he observes.

Besalco has begun the construction of the first stages of three housing projects this month via investment of almost US$20mil. One of the schemes is based in Puente Alto, the other two in San Bernardo. The property sector only provides 8% of operational income for the firm but the division is a very active one in both Chile and Peru (where in ten years Besalco has built 3,000 homes). Its Peruvian activities provide 20% of Besalco profits.

Publication: SABI - Business News
Provider: South American Business Information
August 29, 2009

La Polar sets sights firmly on Colombia

The general director of La Polar, Pablo Alcalde states that of late the markets have misread the retail sector and he has persuasive arguments to offer, mainly contained on the Chilean chain's balance sheet profits for the department-store group grew 50% in the first semester, a better result than its better-known brethren Cencosud and Ripley. Aimed mainly at the social classes C3 and D, La Polar is at work on expansion into Colombia, where it plans to open six stores in the coming years. In Chile, it will open another six through 2010-2012 too, using the funds that will be raised in the capital increase La Polar had approved on Friday (of Peso$50bil). The plan is to buy stores in Colombia, sell them off and lease them back.

Publication: SABI - Business News
Provider: South American Business Information
August 29, 2009

Celulosa Arauco acquires Tafisa in Brazil

Celulosa Arauco, via its filial Placas do Parana, has paid US$165,2mil for the assets of the Brazilian reconstituted wood manufacturer Tafisa, owned by Sonae group that has a 640,000 m3 capacity at Parana state. Placas is also assuming debts of US$62mil, thus the acquisition would cost US$227mil. Charles Kimber, corporate matters manager with Arauco, says the move would enlarge the company share in the Brazilian market from 11% to around 22%. Arauco runs 605,000 m3 of MDF and should increase it to 1,2mil m3. As of Jan 2008 the Chilean Masisa has purchased 37% on Tafisa in a US$70mil deal, but its association with Sonae did not worked out and the stake went back to Sonae.

Chile: Publication: SABI - Business News
Provider: South American Business Information
August 29, 2009