Daily NewsBrasilInsurance to buy Omega for USD 6.4m in cash and stock BrasilInsurance Participacoes e Administracao (BRIN3: BZ), the Brazilian listedinsurance broker, has announced that, in line with its strategy of growththrough acquisitions of interest in insurance and reinsurance brokerages,signed an agreement on 13 May, 2013 acquiring the control Omega Corretora deSeguros, the 47th acquisition made by Brasil Insurance.Omega, basedin Sao Paulo - SP, is a brokerage firm specialized in Benefits and has anoutstanding performance with corporate clients, especially in health and dentalinsurance, with a current portfolio of approximately seven thousand lives. Inaddition, Omega also has been showing expressive results in retail market withtravel insurance, using an insurance trading platform on the internet. Omegaposition on a product of largest rise in the insurance market in Brazil,generated a portfolio of more than two thousand customers in only one year ofoperation. The brokerage currently manages approximately BRL 20m in annualinsurance premiums.The totalacquisition price is estimated at BRL 13m (USD 6.4m), of which 40% will be paidin cash and 60% in Brasil Insurance stock. The initial payment installment willbe BRL 2.9m followed by four variable annual installment calculated using anearn-out structure based on the brokers future results. With this, BrasilInsurance will hold 99.80% of the shares representing the capital stock ofOmega.BrasilInsurance, since its IPO, invested a total of BRL 375m, including earn-outsestimated to be paid, in the acquisition of 12 insurance brokers in 2011 (BRL192m), eight in 2012 (BRL 170m) and one in 2013 (BRL 13m).Pursuant toArticle 256, item I of Brazilian Corporation Law (Law 6,404/1976), the companywill present this acquisition to shareholders through an ExtraordinaryShareholders Meeting to resolve on this matter. Shareholders dissenting fromthe acquisition of Omega will have the right to withdraw from the company,based on financial information of 31 December, 2012, calculated at a price ofBRL 5.42.Withdrawalrights will be granted to dissenting shareholders based on a record date of 13May, 2013 (included). Dissenting shareholders must notify the company of theirdecision to dissent and withdraw within thirty days from the date of theExtraordinary Shareholders Meeting decision on the aforementioned acquisition.Value USD 6m (deal value) Stake Value 100%. SourceCompany Press Release(s). OGX mayneed USD 1bn to repay debt and fulfill investment plan OGX Petroleo eGas Participacoes (Bovespa: OGXP3), a Brazilian oil and natural gas startupcontrolled by Eike Batista, may need USD 1bn in cash. The current cashgeneration of OGX isnt sufficient to pay for investments and make debtrepayments, Diario Comercio Industria & Servicos reported on Monday citingunidentified analysts at JP Morgan.OGX hassufficient cash for a period of from two to four quarters, DCI reported, citinga team of analysts at Bank of America Merrill Lynch for the estimate.The reportdidnt give a time frame for when OGX needs the USD 1bn. Petronas, theMalaysian state oil company, agreed to acquire OGXs interest in two offshoreblocks in Brazils Campos Basin, according to DCI. Petronas Brasil, theBrazilian unit of the Malaysian company, under an agreement signed on 7 May,will acquire 40% of OGXs interest respectively in blocks BM-C-39 and BM-C-40for a total payment of USD 850m, as reported. Only USD 250m, though, isimmediately available to the Brazilian company, DCI