More for Less: Following Heavy Demand, Vale Captures US$1.5 Billion Abroad

Great interest in the mining company's stock has led it to capture 50 percent more than intended and at a more competitive rate.

RIO DE JANEIRO, BRAZIL - Vale went to the foreign market to seek US$1 billion (R$5 billion) in 10-year-yield bonds and an initial rate estimate of 4.375 percent per annum. Early in the afternoon, the operation recorded four-fold demand and further increased.

As a result, the giant mining company - with revenues tied to the dollar - raised US$1.5 billion at a cost of 3.85 percent per year, an indication that investors abroad are willing to buy debt from Brazilian companies at the current rates. At today's exchange rate, this amounts to R . . .

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