Rumo Ends Sale of Santos Terminal Stake, Retains Key Asset in Brazil’s Grain Export Chain

Brazil’s Rumo S.A., the largest independent railway logistics operator in the country, has terminated its agreement to sell a 50% stake in Terminal XXXIX at the Port of Santos.

The decision was confirmed through a securities filing and official company statements, and it affects a consortium formed by Bunge Alimentos and Zen-Noh Grain Corporation.

The deal, initially valued at R$600 million ($105 million), would have seen Rumo transfer half of its ownership in the vital grain terminal, with the remaining 50% stake held by Caramuru Alimentos, a major Brazilian grain processor.

Rumo, listed on the B3 exchange with a market capitalization of R$36 billion ($6.32 billion), operates 13,500 kilometers of railway lines across nine states, serving 500 municipalities and running 1,200 locomotives.

The company reported net revenue of R$13,936 million ($2,444 million) and adjusted EBITDA of R$7,713 million ($1,353 million) for 2024. Capital expenditures reached R$5,523 million ($969 million), reflecting ongoing investments in infrastructure and capacity.

The company cited the failure to meet certain precedent conditions by the contractual deadline as the reason for the deal’s cancellation, without providing further details. Bunge confirmed its acceptance of Rumo’s decision, while Zen-Noh did not comment.

The transaction’s collapse means Rumo will continue to control half of Terminal XXXIX, a facility with a storage capacity of 135,000 tonnes and a strategic role in Brazil’s agricultural export logistics.

Rumo 2024 Financial Highlights

Rumo’s financial disclosures show selling, general, and administrative expenses of R$711 million ($125 million) in 2024, an 18% increase attributed to structural investments in process reinforcement, efficiency, and risk management.

The company also recorded a negative result of R$3.3 billion ($579 million) in other operating income and expenses, with R$3.1 billion ($544 million) linked to asset write-offs at Rumo Malha Sul, which faced severe weather disruptions in early 2024.

The financial result for Rumo in 2024 was an expense of R$2.6 billion ($456 million), balanced by lower net debt costs from declining average CDI rates but offset by higher lease liabilities, including new equipment and amendments to existing concessions.

Impairment losses recognized on Rumo Malha Sul S.A. totaled R$2,967 million ($520 million), reflecting the impact of adverse operating conditions and the use of discounted cash flow projections through the concession’s 2027 expiration.

Rumo’s decision to retain its stake in Terminal XXXIX signals a commitment to maintaining control over a critical export asset and reflects the company’s focus on financial discipline and capital allocation.

The move preserves logistical flexibility in Brazil’s main grain export corridor and positions Rumo to support future capacity expansions at the Port of Santos.

This development underscores the importance of robust infrastructure and local control in ensuring the competitiveness of Brazil’s agricultural exports in global markets.

LatAm Markets: Live Signals → — real-time movers, turnover leaders and FX across Latin America.