Brazil builder PDG posts loss, announces capital increase
RIO DE JANEIRO, March 18 (Reuters) - Brazilian homebuilder PDG Realty SA posted a net loss of 222 million ($69 million) in the fourth quarter of 2014, down from a 19 million reais profit a year earlier due to fewer launches and gross sales.
PDG is working its way back from an expansion program that left it with unprofitable projects, big quarterly losses and a heavy debt load. Like many of its competitors, the company is now trying to streamline and focus on inventories as it faces an uncertain economic environment in Brazil.
In a separate filing on Wednesday, PDG announced an agreement with Vinci Partners to increase its private capital by a minimum 300 million reais and a maximum 500 million reais.
The proposed capital increase will take place through a private subscription of up to 1.13 billion common shares at 0.44 reais per shares, the filing said.
($1 = 3.2 reais) (Reporting by Luciana Bruno; Writing by Caroline Stauffer; Editing by Ken Wills)
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