Hello. This week’s issue: Brazil’s huge lottery rollover. IPOs in Brazil at half of U.S. prices. Plus, the most important facts of the week.
The week in review
Bolsonaro. The federal government remains at odds with Congress. This week, the Special Budget Committee voted to remove Brazil’s anti-money laundering authority from under Justice Minister Sergio Moro’s control—and has stalled a vote to confirm the cabinet structure Mr. Bolsonaro signed upon taking office. If it doesn’t get confirmed by June 3, the entire cabinet structure would revert to what it was under the previous administration.
Avianca. A judge suspended airline Avianca’s court-supervised recovery plan approved on April 14—which canceled the auction of the company’s assets scheduled for May 7. With debts of over BRL 3bn, Avianca has lost 86% of its fleet (as planes were returned to leasers), laid off over 100 staff members, and canceled over 3,000 flights in recent months. The company was hoping to raise at least USD 210m from the auction and could now be forced into bankruptcy.
Venezuela. After nearly three months, Venezuela reopened its border with Brazil. In February, President Nicolás Maduro decided to suspend access between both countries after Brazil joined the U.S.-led effort...