Petrobras management asked board to delay unit IPO, source says
RIO DE JANEIRO Aug 27 (Reuters) - Management at state-controlled Petróleo Brasileiro SA recommended the company's board in a recent meeting to delay a planned initial public offering plan of its fuel distribution unit due to souring market conditions, a source with direct knowledge of the situation said on Thursday.
This month, the company known as Petrobras said the BR Distribuidora IPO hinged on global and domestic market conditions. Management told the board that strategic decisions, such as the IPO of BR Distribuidora SA unit, need to take into account the impact of the current market situation on those plans, said source, who requested anonymity because of the sensitivity of the issue. (Reporting by Rodrigo Viga Gaier; Writing by Guillermo Parra-Bernal; Editing by Chizu Nomiyama)
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