Brazil's Cetip cash build-up not aimed for M&A, executives say
SAO PAULO Nov 7 (Reuters) - A recent build-up in cash holdings at Cetip SA Mercados Organizados is not aimed at additional capital spending projects nor for potential acquisitions, executives at Brazil's largest securities clearinghouse said on Friday.
Cetip reported on Thursday third-quarter profit in line with estimates although revenue showed a better-than-epxected performance. The company's available cash holdings, which include cash, investment and accounts receivable among other items, rose 32 percent so far this year.
"None of this increase is for the purpose of acquisitions or additional investment plans," Chief Financial Officer Willy Otto Jordan said at a conference call to discuss earnings. He noted that maintaining conservative debt levels "is desirable" and that excess cash is "always best placed in hands of shareholders." (Reporting by Guillermo Parra-Bernal Editing by W Simon)
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