Ecopetrol, Molinos, Pao de Acucar, VCP: Latin Equity Preview

By Paulo Winterstein and James Attwood

Sept. 16 (Bloomberg) -- The following companies may have unusual price changes today in Latin America trading. Stock symbols are in parentheses, and share prices are from the previous close. Preferred shares are usually the most-traded class of stock in Brazil.

The MSCI Latin America Index tumbled 7.4 percent yesterday to 3,273.90. Markets in Mexico are closed today for a holiday.

Argentina

Molinos Rio de la Plata SA (MOLI AF): Molinos agreed to buy up to 25 million of its own shares, or about 10 percent of shares outstanding, to contain price declines spurred by an international sell off, the Buenos Aires-based agricultural company wrote in statement posted on the regulator's Web site yesterday. Molinos jumped 7.8 percent to 7.65 pesos.

Brazil

Cia. Brasileira de Distribuicao Grupo Pao de Acucar (PCAR4 BS): Brazil's biggest food retailer said August sales at stores open at least a year climbed for a fourth month, rising 17 percent from the year-earlier period. Net sales at all stores rose 29 percent to 1.5 billion reais ($835 million), led by electronics and textiles, Grupo Pao de Acucar said yesterday in a regulatory filing. Pao de Acucar fell 2.7 percent to 33.99 reais.

Petroleo Brasileiro SA (PETR4 BS): Brazil's state-controlled oil company expects exports of its oil and fuels to exceed imports in 2008, the company's refining chief Paulo Roberto Costa said. Petrobras has been increasing diesel output from its domestic refineries and adding vegetable oils into its domestic Brazilian diesel blends, which the company forecasts will keep imports of diesel at 50,000 to 60,000 barrels a day in 2009, Costa told reporters yesterday in Rio de Janeiro. Petrobras dropped 9.7 percent to 29.80 reais.

Votorantim Celulose & Papel SA (VCPA4 BS): The Safra family's plan to participate in the controlling block of a merged VCP and Aracruz Celulose SA ``opens the way for the consolidation of activities between VCP and Aracruz'' and should help VCP stock, Fator Corretora chief analyst Lika Takahashi wrote in a note yesterday. VCP, as Brazil's third-largest pulp producer is known, fell 5.4 percent to 34.95 reais.

Colombia

Ecopetrol SA (ECOPETL CB): Colombia's state-controlled oil producer received a reiterated ``buy'' from Citigroup Inc. on growth prospects. Ecopetrol's planned American depositary receipt listing on Sept. 18 probably will support the share price by increasing investor access and improving information disclosure, Citigroup analysts wrote in a note to clients yesterday. The stock fell 1.9 percent to 2,625 pesos.

To contact the reporters on this story: Paulo Winterstein in Sao Paulo at pwinterstein@bloomberg.net; James Attwood in Santiago at jattwood3@bloomberg.net.