BNDES executes OSX debt and Votorantim pays.
The bank foreclosed on a debt of approximately R$ 550 million owed by Eike Batista's shipyard, and Banco Votorantim, which had provided a bank guarantee for the transaction, paid the amount on Monday, according to Reuters sources.
By Sabrina Lorenzi and Guillermo Parra-Bernal
RIO DE JANEIRO/SÃO PAULO, Nov 19 (Reuters) - The Brazilian National Development Bank (BNDES) has executed a debt of approximately 550 million reais from OSX, and Banco Votorantim, which had provided a bank guarantee for the operation, paid the amount on Monday, two sources with knowledge of the matter stated on Tuesday.
Another loan from BNDES, contracted by OSX for 1,3 billion reais last year, never had any installments released by the development bank and is expected to be suspended due to the bankruptcy filing by the shipyard owned by businessman Eike Batista, one of the sources revealed to Reuters, on condition of anonymity.
In 2012, OSX secured a long-term loan from the Merchant Marine Fund (FMM) to build its shipyard, but the money has not even begun to be disbursed. Normally, the borrower requests disbursement as the work progresses and the borrower's ability to execute it with their own resources is determined.
OSX filed for bankruptcy protection earlier last week, linked to the proceedings of its sister company, the oil firm OGX.
The bridge loan obtained by an OSX subsidiary from BNDES and guaranteed by Votorantim had its maturity extended by 30 days on October 15th. Since November 15th was a holiday, the deposit to BNDES by Votorantim occurred on Monday the 18th, according to one of the sources familiar with the matter.
Banco Votorantim has become a creditor of the shipyard and will provision OSX's debt in its balance sheet.
A spokesperson for Banco Votorantim said the institution would not comment on the matter, citing banking secrecy rules. The same was said by BNDES. OSX, when contacted, also did not provide information.
Other loans made by Eike's EBX group were also guaranteed by third parties, exempting the bank that released the funds from liability for defaults.
OSX itself has a similar financing line with Caixa Econômica Federal, guaranteed by Santander Brasil. Earlier this month, the two banks agreed to roll over a loan to OSX worth 461 million reais over 12 months. The original maturity date of the debt was mid-October.