Brazilian oil major Petrobras plans to tap the euro and sterling markets for the first time as it seeks to diversify its funding away from the US dollar. Having had the largest global equity offering in history last year, the company’s net debt-to-equity ratio fell back to 17%, giving it considerable debt headroom while still staying within its 25% to 35% leverage target range.
Last year, Petrobras issued $13bn in the debt capital markets and the strategy is to raise between $10bn and $15bn a year to help fund capital expenditure of $224.1bn between 2010 and 2014.
