SAO PAULO, Sept 2 (Reuters) - Brazilian grain merchant Agribrasil forecasts it will more than double revenue this year as Brazil’s China-fueled commodities boom boosts the company’s prospects, company founder and Chief Executive Frederico Humberg said on Wednesday.
Humberg told Reuters he now expects the firm’s revenue to surge to 1 billion reais ($186 million) this year from 390 million reais in 2019, as demand for grains like corn and soybeans remain strong.
Thanks to a weak currency and a sharp drop in logistics costs, Agribrasil will trade an estimated 1 million tonnes this year, up from 450,000 tonnes the year before, exceeding Humberg’s already optimistic expectations.
“It is an combination of factors, the market remains good and this year was fantastic despite the pandemic,” he said.
Humberg also revealed that Agribrasil has long-term plans to go public, listing its shares on a special segment of the B3 stock exchange, with the goal of raising up to 200 million reais to be invested in a port terminal.
Humberg said the listing could take place next year if market conditions allow it. He said the port terminal could be located either in Brazil’s south or northeast.
Agribrasil does not own any logistics assets yet, but could quadruple revenue in four years and be one of Brazil’s 10 largest grain traders in five, he said.
In the future, Agribrasil could add grain processing operations to its existing trading business, the executive said.
Humberg founded the company in 2016 after working for larger firms, including Glencore and Bunge. He also served as Brazil chief executive for Gavilon, the U.S.-based grain trader owned by Japan’s Marubeni.
Humberg led Gavilon for five years and brought part of his team from there to join Agribrasil.
$1 = 5.3754 reais Reporting by Roberto Samora Writing by Ana Mano; Editing by Aurora Ellis
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