Brazil’s state-run oil company Petrobras set to price world’s largest share offering

Petrobras set to price biggest share offer

SAO PAULO — Brazil’s state-run oil company is poised to announce pricing for the world’s largest share offering, in which it could raise $79 billion.

The money will be used to develop massive offshore oil reserves that Petrobras has discovered in the past three years — some of the largest finds in decades.

Analysts said Thursday that the company will still need to raise more than $50 billion through future offerings or loans to meet its ambitious $224 billion, five-year investment plan.

Of the $79 billion expected to be raised, about $36 billion will be cash.

Brazil’s government — which already controls 40 percent of the company — will receive $43 billion in shares in exchange for allowing Petrobras to drill for five billion barrels in reserves.