interested in analysing opportunities but at the moment is not activelylooking for candidates, the executive said. The Italian investment firm,Palladio Finanziaria, in which Valenia Group holds a 10% stake, acts asfinancial advisor, he added.JVs withdistributors to expand in the photovoltaic sector in Europe are also part ofthe group's strategy, the executive said. France, UK and Germany are the mostinteresting areas. He noted that JVs with local firms to set up productionfacilities in countries such as Brazil, India and China would in principle makesense but are not part of the groups short-term plan.Offers for anundisclosed minority stake in Metra, producer of blanked magnetic laminationand die cast components for electric motors. would be considered, Spilleresaid. However, he added, the divestment is not a priority as Metra, withrevenues of around EUR 10m, is relatively small. He mentioned that the majoritystake in the company is in the hands of the company Mefin owned by hisrelatives Spillere Pietro and Spillere Alessandra. The ValeniaGroup, fully owned by the Spillere family, has been approached by potentialinvestors in the past but the offers have been refused, the executive said. Thegrowth is financed with the cash flow, he added.Telwin, thefirst company of the group, was established in 1963 by Spilleres grandfather.Spilleres father is the CEO of the group, and he and his sister are involvedin the management of Telwin and Valenia Group, which has 400 staff.In thephotovoltaic sector the group's main competitor is Power-One, the executivesaid. He mentioned that among Telwins clients are major car producers, addingthat the company is currently in talks with Mercedes, part of the Daimlergroup.Valex, agardening tools manufacturer, is also part of Valenia Group, which recentlyincreased its stake in Valex from 40% to 100%. Value USD 157m (group revenues). SourceProprietary Intelligence. CSN acquisition of 33% of CSA seen as"reasonable" by Rio de Janeiro government The government of Rio de Janeiro state sees asreasonable the rumored deal in which Companhia Siderurgica Nacional CSN (CSNA3: BZ, SID:NYSE) could buy 33% of Companhia Siderurgica do Atlantico CSA, a steel milllocated in northern Rio de Janeiro and owned by Germanys ThyssenKrupp, ValorEconomico reported, citing Julio Bueno, the development secretary of Rio deJaneiro.Citing unnamedsources, the article said Sergio Cabral, the governor of Rio de Janeiro state,threatened to withdraw the tax benefits to CSA if Benjamin Steinbruch, thecontrolling shareholder of CSN, bought the control of the company. Thegovernment of Rio de Janeiro was displeased with Steinbruch when he transferredthe command of CSN from Rio de Janeiro to Sao Paulo in 2003, noted the report.Stake Value33% Source Valor Economico Geociclo Biotecnologia has attracted private equity interest, CEO says Geociclo Biotecnologia, a privately held Uberlandia,Brazil-based specialty fertilizer manufacturer, is selling a stake to adomestic private equity firm, and will examine an additional stake sale by June2014, CEO Ernani Judice said. A Brazilian PE firm is acquiring a minoritystake, and has hired an advisor to conduct due diligence on Geociclo, whichshould conclude this month. The financing is expected to be closed by June,Judice said. Proceeds will be used as working capital for its two factories inGoianesia and in Uberlandia.Geociclo isbeing advised by the financial consultancy Advisia