Vale informs on minority stake of MBR

12/20/2019

Vale informs on minority stake of MBR

Rio de Janeiro, December 20th, 2019 – Vale S.A. (“Vale”) informs that, on this date, its subsidiary Minerações Brasileiras Reunidas S.A. – MBR (“MBR”) has approved at the Shareholders’ Meeting the remuneration and the redemption with the consequent cancellation of all class A preferred shares of MBR, which were solely owned by Banco Bradesco BBI S.A., for the total amount of R$ 3,309 million.

MBR owns assets for production, transportation and port shipment integrated into Vale’s Southern System and accounted for the production of approximately 59 Mt of iron ore in 2018. With the completion of the transaction of redemption and cancellation of the shares, Vale now holds 98.3% of MBR’s share capital, concluding the sale transaction of a minority stake announced to the market on July 30, 2015.

In the year of 2018 and the first nine months of 2019, MBR paid dividends to non-controlling interest of US$ 168 million and US$ 162 million, respectively.

Vale reinforces its discipline seeking capital allocation options, which is consistent with the company’s strategic pillars.
 

Ever since the Covid-19 outbreak began, our highest priority is the health and safety of our employees. Our IR team adopted work-from-home, and as we continue to face these new circumstances, we strongly recommend you prioritize e-mail and online engagement.

For further information, please contact:

Vale.RI@vale.com
Ivan Fadel: ivan.fadel@vale.com
Andre Werner: andre.werner@vale.com
Mariana Rocha: mariana.rocha@vale.com
Samir Bassil: samir.bassil@vale.com

This press release may include statements that present Vale’s expectations about future events or results. All statements, when based upon expectations about the future, involve various risks and uncertainties. Vale cannot guarantee that such statements will prove correct. These risks and uncertainties include factors related to the following: (a) the countries where we operate, especially Brazil and Canada; (b) the global economy; (c) the capital markets; (d) the mining and metals prices and their dependence on global industrial production, which is cyclical by nature; and (e) global competition in the markets in which Vale operates. To obtain further information on factors that may lead to results different from those forecast by Vale, please consult the reports Vale files with the U.S. Securities and Exchange Commission (SEC), the Brazilian Comissão de Valores Mobiliários (CVM) and in particular the factors discussed under “Forward-Looking Statements” and “Risk Factors” in Vale’s annual report on Form 20-F.

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Vale informs on minority stake of MBR