São Paulo, April 10, 2008 - COSAN S.A. INDÚSTRIA E COMÉRCIO and Rezende Barbosa S.A. Administração e Participações (RB), holding company of Nova América group, jointly called “Shareholders”, publicly inform the execution of a Memorandum of Understanding, by means of which they will create Rumo Logística S.A. (RUMO), a company specialized in the logistics of sugar and grains located in the Port of Santos, São Paulo. The Shareholders have also entered into a Private Instrument of Sale and Purchase Commitment of Shares by which Cosan will acquire 49% of Teaçu Armazéns Gerais S.A. (Teaçu), a port terminal of sugar export located in Santos, owned by RB, by the amount of R$119 million reais.
According to the Memorandum of Understanding, the Shareholders will contribute their port assets and concessions of sugar export to the creation of RUMO. Cosan will contribute its total share in the assets of Cosan Operadora Portuária S.A. (Cosan Portuária), plus the 49% of the share it will acquire in Teaçu, and RB will contribute the remaining 51% in Teaçu. The equity capital of RUMO will be shared between the Shareholders, with 71.2% belonging to the shareholders of Cosan Portuária and 28.8% to the shareholders of RB.
Thus, RUMO will be created as the world’s largest logistical player on sugar exports, with a static storage capacity of 435,000 tonnes and annual shipment capacity of 8.5 million tones of sugar or grains, operating both solid bulks and bagged sugar.
The Shareholders believe that the combination of the port assets and their unified operation by means of RUMO, in addition to the exploration of other initiatives in the handling and transportation of sugar and grains, will generate expressive synergies, allowing RUMO to become one of the most competitive companies in the logistics segment, bringing large benefits to its clients and to Brazil. The effective concretion of this transaction is subject to condition precedent, including the approval by the appropriate regulatory bodies and minority shareholder.
About COSAN S.A.
COSAN is one of the largest producers of sugar and ethanol in the world. With a crushing capacity of around 40 million tonnes of sugar cane, the Company holds over 8% of the local market