Cosan S.A.is a public-listed company, aBrazilianconglomerateproducer ofbioethanol,sugarandenergy.The company operates in Brazil,Argentina,Uruguay,Paraguay,Bolivia.They also operate in theUnited Kingdomunder the brand name Moove, manufacturing and supplying Mobil Lubricants, Greases, Cutting Fluids, Coolants and Aerosols.[2]

Cosan S.A.
Company typePublic
ISINBRCSANACNOR6
Industry
Founded1936;88 years ago(1936)
Headquarters,
Brazil
Key people
Luis Henrique Guimarães (CEO)
Revenue
  • IncreaseR$3.972 billion[1](2019)
  • R$ 2.607 billion(2018)
  • IncreaseR$ 2.483 billion[1](2019)
  • R$ 1.903 billion(2018)
Number of employees
45,000
Subsidiaries
Websitewww.cosan.br

History

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Cosan began in 1936 inPiracicaba,São Paulo,with the founding of its first factory for milling ofsugar cane.[3]From the second half of the 1980s, it quickly expanded operations through the acquisition of several factories in the State of São Paulo. Cosan cultivates, collects and processes sugar cane, the main raw material used in the production ofsugarandethanol.Its 23 plantings occupy almost 600,000 hectares of land and employ 45,000 people. In 1989, the group was the largest producer of sugar and alcohol in the world, with 22 companies and the crushing of 10.5 million tons of sugarcane, 5% of the Brazilian total.[4]In the food sector, the company owns 11.5% of shares ofCamil Alimentos,that merged with Cosan Alimentos in 2012.

Cosan acquired a 4.9 per cent stake in mining companyVale SAin October 2022, with a subsequent increase to 6.5 per cent. The transaction amounted to approximately R$22 billion ($4.38 billion).[5][6]

Purchases and mergers

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On April 24, 2008, Cosan announced the purchase of the portfolio ofdownstreamfuel distribution plants fromEssoin Brazil.

On March 13, 2009, the Group confirmed the incorporation of NovAmérica Agroenergia through a stock exchange operation between the Cosan andholdingRezende Barbosa, controller of NovAmérica.[7][8]With the acquisition, the group Cosan reinforces its position as the largestproducer of sugarand alcohol in the world and will have an annual processing capacity of around 56 million tonnes of sugar cane, 10% of the Brazilian market, managing 23 plants.

On 3 May 2012, Cosan signed a memorandum of understanding acquiring theBG Group's 60.1% stake inComgás.[9]The deal was completed in November 2012.[10]

In 2021, Compass Gás e Energia, a company of the Cosan group, announced the purchase of Gaspetro (currently Commit Gás)[11]from Petrobras.[12]The purchase was completed in July 2022 for R$2.097 billion.[13][14]

In the same year, Compass won the auction for the privatization of the Gas Company of the State of Rio Grande do Sul (Sulgás).[15]The purchase was completed in January 2022 for a minimum amount of R$927.7 million.[16]

Joint-Venture with Royal Dutch Shell

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Cosan's Costa Pintosugar canemill andethanoldistillery plant atPiracicaba,São Paulo.

On February 1, 2010, Cosan andRoyal Dutch Shellannounced the creation of a joint ventureRaízenthat merged their operations of sugar, ethanol and the distribution and marketing of fuels in Brazil. It formed the third-largest distribution company in Brazil and the world's largestbioenergyoperation.[17]

In June 2021, Raízen officially registered for anIPOwith Brazilian securities regulatorCVM.[18]In August, the company raised US$1.3 billion, making it Latin America’s biggest IPO.[19]

Raízenis offeringgreen bondsin 2024. This offering is a first for a Brazilian company. Raízen will offer 10-year or 30-year bonds or both, with a portion of the proceeds used to buy back the bonds (up to $725 million, maturing in 2027).[20]

References

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  1. ^ab"Consolidated Financial Statement 2019".Cosan S.A. 2019-12-31.Retrieved2021-01-14.
  2. ^"Grupo Cosan".Cosan(in Brazilian Portuguese).Retrieved2023-03-08.
  3. ^FGV (2011-08-20).Elites empresariais paulistas: depoimentos à FGV(in European Portuguese). Editora FGV.ISBN978-85-225-1110-5.
  4. ^"O Estado de S. Paulo - Acervo Estadão".Acervo.Retrieved2023-03-08.
  5. ^"Brazil's Cosan acquires 4.9% of miner Vale, plans to buy more".Reuters.Archived fromthe originalon 2023-06-27.Retrieved2024-03-25.
  6. ^"Cosan vai desembolsar R$ 22 bi para comprar 6,5% da Vale".Exame Invest(in Portuguese). Archived fromthe originalon 2023-02-17.Retrieved2024-03-25.
  7. ^"Brazil - Brazzil Mag - Brazilian Ethanol Giant Cosan Buys ExxonMobil Brazil".Archived fromthe originalon 2009-08-26.Retrieved2009-06-28.
  8. ^"Brazil's Cosan takes over NovAmerica, boosting lead in ethanol".Chemical Business Newsbase.13 March 2009.
  9. ^Lewis, Josh (2012-05-03)."BG to offload Comgas stake".Upstream Online.NHST Media Group.Retrieved2012-05-03.
  10. ^"BG Group Closes Sale Of Comgás Stake - Quick Facts".RTT News.2012-11-06. Archived fromthe originalon 2012-11-08.Retrieved2012-12-03.
  11. ^Nascimento, Houldine (2022-07-12)."Gaspetro agora vai se chamar Commit Gás S.A."Poder360(in Brazilian Portuguese).Retrieved2023-03-08.
  12. ^"Cosan compra distribuidoras de gás da Petrobras por R$ 2 bilhões".Folha de S.Paulo(in Brazilian Portuguese). 2021-07-28.Retrieved2023-03-08.
  13. ^"Petrobras conclui venda da Gaspetro para Compass".Agência Brasil(in Brazilian Portuguese). 2022-07-11.Retrieved2023-03-08.
  14. ^CNPI, Jader Lazarini, analista (2022-06-23)."Compass (PASS3) assume Gaspetro e reforça tese do IPO que falhou".TradeMap(in Brazilian Portuguese).Retrieved2023-03-08.{{cite web}}:CS1 maint: multiple names: authors list (link)
  15. ^"Governo do RS privatiza Sulgás em leilão de quase R$ 928 milhões".G1(in Brazilian Portuguese). 22 October 2021.Retrieved2023-03-08.
  16. ^"Controlada da Cosan, Compass conclui compra de 51% da Sulgás".Valor Econômico(in Brazilian Portuguese). 3 January 2022.Retrieved2023-03-08.
  17. ^"Shell bets on ethanol in $21 billion deal with Brazil's Cosan".Reuters.1 February 2010.
  18. ^"Brazil energy group Raizen officially files for IPO".Reuters.3 June 2021.RetrievedApril 26,2023.
  19. ^Vinicius Andrade; Felipe Marques; Fabiana Batista."Shell-Cosan Venture Snatches $14 Billion Valuation in Brazil IPO".Bloomberg.RetrievedApril 26,2023.
  20. ^"Raízen prepares green bond issue abroad".Valor.Archived fromthe originalon 2024-03-25.Retrieved2024-03-25.