Companies & Finance

Petrobras faces legal wrangle to clear way for TAG sale

Petrobras will push for a full Supreme Court vote on a legal decision that has frozen the company’s divestment plan, experts say Petrobras will push for a full Supreme Court vote on a legal decision that has frozen the company’s divestment plan, experts say.
By Chris Noon 12 July 2018 0 31709
Brazilian pipeline infrastructure. (Petrobras)

Petrobras is likely to seek a plenary vote from Brazil’s full Supreme Court to overturn a legal injunction that has frozen the state company’s divestment programme. However, the process to clear the way for divestments – such as the sale of the company’s gas pipeline operator, Transportadora Associada de Gás (TAG) – threatens to be long and tortuous. 

Supreme Court Justice Ricardo Lewandowski ruled earlier this month that the sale of shares in state-controlled companies, including their subsidiaries, must be...