How to handle your money
July 2, 2012Posted by on
South America’s richest man and the 7º richest person in the world, with an estimated fortune of 15 billion dollars. That’s how most brazilians know Eike Batista, born in Governador Valadares, in Minas Gerais. His enterprises act in many areas, from oil to logistics. His trademark is to put an X on the end of his companies’ name. Just like in MMX, a mining company, in MPX, electric energy and coal company, in LLX, logistics company, in BFX, cellulose alcohol company and in OGX, oil company. OGX was the responsible by Eike’s nightmare.
OGX crisis started a few days ago when they published a report revealing that the company produced only a third of the profit they expected to produce. This made OGX’s shares on Bovespa (Sao Paulo’s stock market) fall about 40% in two days, being sold by only 3 dollars. It affected ohter EBX group companies’ papers. MMX shares falled around 17% and LLX’s 8,07%. Because of this crisis, Eike lost around 7 billion dollars and is now the 46º richest person on the world.
In order to try to recover his losses, the entrepeneur changed the CEO of OGX. Paulo Mendonça was replace by Luiz Eduardo Carneiro, former OSX president. This made OGX’s papers rise, but Eike is far from recover his lossses. Do you think him empire will fall down?