According to a regulatory filing Monday, Brazil-based steel giant Gerdau plans to increase the company's available funds by issuing at least R$3.8 billion (US$2.28 billion) worth of common and primary stock. The offer could be as high as R$4.2 billion (US$2.5 billion).
A statement by Gerdau indicates that the company plans to use funds generated from the sale to finance other investments, reigniting speculation that Gerdau may be looking to acquire part of Usinas Siderurgicas de Minas Gerais SA (Usiminas), another Brazilian steelmaker.