What is the total value of Raizen's sale of its Argentina downstream business to Mercuria, and what does the transaction include?

The total value of the sale is $1.42 billion, comprising a cash payment at closing subject to customary adjustments—including changes in working capital and net debt—as specified in the agreement; additionally, Mercuria will assume the debt of Raizen Argentina S.A.U.

Why is Raizen selling its Argentina downstream operations, and how does this fit into its broader financial strategy?

Raizen is selling the business as part of its strategy to optimize its asset portfolio, simplify its operating structure, and maintain disciplined capital allocation—particularly amid pressure from a heavy debt burden, high capital spending, and adverse weather and wildfires impacting sugarcane crops; the net proceeds will be used to manage the company's capital structure, aligning with its ongoing out-of-court debt restructuring effort covering approximately 65 billion reais ($12.84 billion).

Raizen to sell Argentina downstream business to Mercuria for $1.42 billion

Jun 4, 2026

Brazilian sugar and ethanol producer Raizen agreed to sell its Argentina downstream operations to Mercuria Energy Group for $1.42 billion to optimize assets and manage debt amid sugarcane crop challenges.

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Raizen to sell Argentina downstream business to Mercuria for $1.42 billion

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