Brazil. Pension fund Previ not likely to sell its Vale shares in 2018

Brazilian pension fund Previ is not likely to sell its shares in Vale SA (VALE3.SA) in a public offering this year, a person with knowledge of the matter said on Wednesday, a week after the iron ore miner announced a more generous dividend policy.

Holding on to its full Vale stake would allow Previ to take advantage of Vale’s growing dividends as earnings are seen improving, the source said, requesting anonymity to discuss the matter freely.

On March 29, Vale approved a dividend policy that will pay shareholders 30 percent of adjusted earnings before interest, tax, depreciation and amortization (Ebitda).

Read More: Reuters