Acquisition of SAMITRI


Acquisition of SAMITRI

COMPANHIA VALE DO RIO DOCE (CVRD), based in Rio de Janeiro, RJ, Brazil, according to the CVM Instruction 31 of February 08, 1984, and CVM Instruction 299 of February 09, 1999, informs that, jointly with its subsidiary ITABIRA RIO DOCE COMPANY LIMITED (ITACO), based in Nassau, Bahamas, acquired, on May 30, 2000, 4,026,694,190 common shares and 4,231,324,374 preferred shares of S.A. MINERAÇÃO TRINDADE – SAMITRI (SAMITRI), based in Belo Horizonte, MG, Brazil, corresponding to 79.27% of the voting capital and 63.06% of the total capital of SAMITRI, becoming its controlling shareholder. The total amount paid was R$ 970,821,628.10.

SAMITRI is a publicly listed iron ore mining company. It owns 51% of the voting and total capital of SAMARCO MINERAÇÃO S.A. (SAMARCO), based in Belo Horizonte, MG, Brazil, one of the biggest pelletizing companies of Brazil. Moreover, the operational activity of SAMITRI is the exploration of its own iron ore mines located in the state of Minas Gerais.

The above mentioned transaction was realized through the acquisition of 2,742,904,652 common shares and 3,113,613,307 preferred shares held by BELGOPAR S.A., based in Belo Horizonte, MG, Brazil, a company controlled by Companhia Siderúrgica Belgo Mineira, based in Belo Horizonte, MG, Brazil; 776,389,538 common shares and 811,511,067 preferred shares held by ASBM S.A.R.L., based in Luxembourg; 142,900,000 preferred shares held by SIBRALPAR S.A., based in Belo Horizonte, MG, Brazil, a company controlled by SIBRAL Participações Ltda., based in Belo Horizonte, MG, Brazil, and; 507,400,000 common shares and 163,300,000 preferred shares held by SIDARFIN N.V., based in Gent, Belgium.

The above mentioned companies, which are transfering their shareholding participation in SAMITRI to CVRD, are part of the ARBED Group, based in Luxembourg.

CVRD is a Brazilian publicly held company, listed in the Brazilian stock exchanges and traded on the US over-the-counter market. It is the world’s largest producer and exporter of iron ore, the largest owner of mineral rights in Brazil and a major logistic player in Brazil. It is also active in prospecting, mining and refining of gold, manganese, kaolin and potash and has a significant presence in the aluminum, pulp and paper, steel and energy areas.

This acquisition reinforces CVRD’s focus on iron ore and increases its exposure to the particularly high margin and fast growing pellet market.

CVRD informs the constitution of an alliance with The Broken Hill Proprietary Company Limited (BHP), based in Melbourne, Australia, aiming for a better exploration of the Alegria mining complex, located in the state of Minas Gerais. After the acquisition of the SAMITRI shares by CVRD, SAMITRI will sell 1% of the SAMARCO shares to BHP Brasil Ltda., based in Rio de Janeiro, RJ, Brazil, at the amount of, approximately R$ 16 million and celebrate a new shareholders agreement concerning SAMARCO, which control will be shared between SAMITRI and BHP Brasil Ltda.

SAMITRI will call an extraordinary general shareholders meeting to decide about its delisting, jointly with a public offer to buy back shares held by minority shareholders, which will be structured according to the CVM Instruction 229 of January 16, 1995, at the price of R$ 70.03 per thousand of common or preferred shares.

Gabriel Stoliar
Executive Director of the Corporate Center and Investor Relations


For further information, please contact:

Rogério Nogueira:
André Figueiredo:
Carla Albano Miller:
Fernando Mascarenhas:
Andrea Gutman:
Bruno Siqueira:
Claudia Rodrigues:
Marcio Loures Penna:
Mariano Szachtman:

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 and not on historical facts, 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), the French Autorité des Marchés Financiers (AMF), and The Stock Exchange of Hong Kong Limited, and in particular the factors discussed under “Forward-Looking Statements” and “Risk Factors” in Vale’s annual report on Form 20-F.


Acquisition of SAMITRI