Brazilian miner MMX in talks to sell assets

Brazilian mining company MMX, a unit of Eike Batista’s EBX Group conglomerate, said it had begun talks for the “potential” sale of assets and shares to competitor Vetria Mineraçao.

The ironore producer said in a regulatory filing Wednesday that it had begun the “process” of selling assets and production rights in the Corumba region of the western state of Mato Grosso do Sul, which borders Bolivia and Paraguay.

The company clarified, however, that “no definitive accord has been signed thus far” with Vetria Mineraçao, which is based in Mato Grosso do Sul and controlled by America Latina Logistica.

MMX, which has an annual production capacity of 10.8 million tons of iron ore, was founded by Batista in 2005.

Batista was listed two years ago by Forbes magazine as the world’s seventhwealthiest person, but his net worth has fallen sharply amid a plunge in the share prices of his publicly listed companies.

He has embarked on a divestment program aimed at shoring up EBX’s finances.