Cemex, Comgas, Edenor, Entel, Petrobras: Latin Equity Preview

By James Attwood and William Freebairn

Aug. 5 (Bloomberg) -- The following stocks may have significant gains or losses in Latin American markets. Symbols are in parentheses after company names, and stock prices are from the last session.

The MSCI index of Latin American shares fell 4 percent to 4,062.22 yesterday. In Brazil, preferred shares are the most commonly traded class of stock.

Argentina

Empresa Distribuidora y Comercializadora Norte SA (EDN AF): Argentina's biggest electricity distributor said its prices rose an average 18 percent after it was granted a rate increase on July 31. Authorities will consider further rate increases in February and August next year and February 2010, the company known as Edenor wrote in a regulatory filing yesterday. Edenor fell 2.6 percent to 1.86 pesos.

Transportadora de Gas del Sur SA (TGSU2 AF): The Buenos Aires-based natural-gas transporter and processor said second- quarter profit increased 3.7 percent. Net income rose to 55.4 million pesos ($18.2 million), or 7 centavos a share, from 53.4 million pesos, or 6.7 pesos, a year earlier, the company wrote in a regulatory filing yesterday. TGS fell 4.7 percent to 2.24 pesos.

Brazil

Cia. de Gas de Sao Paulo (CGAS5 BS): Brazil's biggest natural-gas distributor said yesterday it planned to raise 100 million reais ($64.1 million) in bonds due in 6 years. The company didn't say in the regulatory filing how it will use the proceeds. Comgas fell 1.3 percent to 44.22 reais.

Petroleo Brasileiro SA (PETR4 BS): A union representing oil workers in Brazil's main offshore oil production region decided to cancel a strike scheduled for today after accepting a contract offer from state-controlled Petrobras, Reuters said yesterday, citing a union official. Under the agreement, workers won a half- day of pay for each day they travel back from their 14-day shifts on offshore platforms, Reuters said. Petrobras fell 4.7 percent to 32.89 reais.

Chile

Empresa Nacional de Telecomunicaciones SA (ENTEL CC): Chile's second-biggest wireless company said second-quarter profit rose 8 percent on higher sales and lower financial expenses. Net income increased to 39.3 billion pesos ($76.9 million), or 166 pesos a share, from 36.4 billion pesos, or 154 pesos, a year earlier, the Santiago-based company known as Entel wrote in an e-mailed statement yesterday. That beat the 37.7 billion peso average estimate of five analysts surveyed by Bloomberg. Entel rose 1.5 percent to 6,865.70 pesos.

Mexico

Cemex SAB (CEMEXCP MM): North America's largest cement maker owes $37.3 million in taxes from 2006 and 2007, the Venezuelan tax authority said yesterday in a statement. The Venezuelan government is seeking to nationalize Cemex's Venezuelan unit. Cemex was unchanged at 20.20 pesos.

Grupo Iusacell SAB (CEL* MM): Mexico's third-largest mobile- phone company was reduced to ``neutral'' from ``buy'' by IXE Grupo Financiero. The company will add fewer subscribers than estimated earlier and faces declining prices for mobile calls, analysts including Manuel Jimenez wrote in a research report e- mailed yesterday. Iusacell fell 3.7 percent to 93.44 pesos.

To contact the reporters on this story: William Freebairn in Mexico City wfreebairn@bloomberg.net; James Attwood in Santiago at jattwood3@bloomberg.net.