Mitsui & Co., Ltd. ("Mitsui") announced today that it has decided to make an additional investment in Valepar S.A., a controlling company of Companhia Vale do Rio Doce ("Vale", head-office: Rio de Janeiro, Brazil) related to the Vale's public offering of shares which was announced on June 12, 2008.
Valepar intends to maintain the current controlling ownership at Vale by exercising its priority subscription rights, and Mitsui will contribute to Valepar on a pro rata basis. Mitsui's investment amount is expected to be approximately yen 75 billion depending on the newly issued share price.
As the global supply and demand of the mineral and metal resources is expected to remain extremely tight, securing further resource base is getting more and more important. Vale is one of the world's largest mining companies, involved in the development and expansion of production capacity of iron ore and other non-ferrous metals through organic growth and strategic acquisitions. Mitsui expects to further increase its competitive equity tonnage base in mineral and metal resources through this investment.
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