Brazilian steelmaker Companhia Siderurgica Nacional (CSN) is experiencing increased pressure, as it needs to renegotiate part of a BRL 29.5 billion ($7.5 billion) debt, out of which creditor Caixa Economica Federal owns about a fourth or nearly BRL 7.5 billion, Brazilian newspaper Estadao said.
The media report didn’t provide an exact timeline for CSN to reach a final deal, but indicated time is clocking for the indebted steelmaker.
CSN is reportedly struggling to renegotiate debt with state-owned bank Caixa.
Last week, CSN concluded the sale of its former US subsidiary, CSN LLC, to Steel Dynamics for $400 million, which should give the Brazilian steelmaker some financial relief.
CSN reached in February this year a deal with state-run bank Banco do Brasil to extend existing debt from 26 to 45 months.