James Morse, Chief Executive of Squarestone Brasil, commented that Squarestone Brasil is delighted to have two such strong partners working together with us in Brazil. Morse said he believes these agreements will help the firm deliver on its strategy and ambitions to be a leading developer and manager of Brazilian shopping malls.

Squarestone Brasil will pay a total consideration of R$95.2m to acquire the remaining 50 per cent of Golden Square that it does not already own and to settle the outstanding amount owed by Squarestone Brasil for its original 50 per cent acquisition. Squarestone Brasil will make an initial payment of R$60m, R$40m of which will come from its own cash reserves with the remaining R$20m from a Bond advance. The balance of the total consideration is deferred until the opening of the mall.

Importantly however, the investment also provides Squarestone Brasil with the funds to construct the project to full completion. Construction of the 31,000 sq m net leasable area (NLA) scheme is expected to begin in the next three weeks and Golden Square is expected to open by Q3 2012.

Golden Square shopping mall is a flagship development for Squarestone Brasil, opening up an entirely new growing ‘A’ and ‘B’ class consumer market for Squarestone Brasil to access. Upon completion, Golden Square will be a 31,000 sq m NLA mall on three levels, designed and built to international shopping mall standards combined with the local culture, tastes and fashions of Brazil that is intended to deliver the optimal tailored retailing experience targeting the ABC region of Sao Paulo.

Golden Square’s goal is to redefine the local retail experience based on international standards, hosting both domestic and international retailers under one roof and presenting a distinctive retail offer that currently does not exist in this part of greater Sao Paulo.

Additionally, under an option agreement signed with Squarestone Brasil, the Bondholders have the right to buy 49 per cent of the management company of Squarestone Brasil, Squarestone Brasil Administracao E Participacoes S.A., subject to conversion of the Bond into equity of SB Brast and also providing 50 per cent of the required equity for the funding of three additional malls.

The announcement follows the disclosure on December 8 through a market announcement of the signing of another Memorandum of Understanding for the development of a “limited services” Tulip Inn hotel in the city of Campos dos Goytacazes, in Rio de Janeiro, continuing its aggressive strategy to develop economic class hotels.

Expresso XXI Batista Campos and Expresso XXI Nazare currently are operated by Solare and will adopt the Tulip Inn brand after the period of transition. The hotels are strategically located near important commercial centers in Belem, in the upscale neighborhoods of Batista Campos and Nazare, respectively. The hotel in Batista Campos, inaugurated in 2005, has 90 guestrooms whereas the Nazare property, opened in 2009, has 100 guestrooms.

The acquisitions mark the entry of BHG into one of the most important export sectors of Brazil. The state has been benefiting from a major series of both public (particularly through the resources of the Accelerated Growth Program (PAC)) and private investments.

These include, for example, the construction of the Belo Monte hydroelectric power plant, the expansion of the Carajas mining complex owned by Vale, as well as the development of major real estate and infrastructure projects, such as two new shopping centers, highways, and the expansion and modernization of the Vila do Conde port.

Pieter J. F. van Voorst Vader, president of BHG S.A. said the firm’s objective is to consolidate the business hotel industry in the country. In order to do this, he noted that the firm needs to be present in every region. These hotels are strategically located in the best neighborhoods of the city of Belem. They are new hotels that add 190 guestrooms to BHG and strengthen its position as one of the largest companies in the sector, he said.

Brazil Hospitality Group is the third largest hotel group in Brazil. It manages hotels divided into three, four and five-star categories. BHG has an exclusive agreement with Golden Tulip Hospitality Group in South America, using the brands Royal Tulip, Golden Tulip and Tulip Inn. In its hotel portfolio, the group also has the exclusive Txai Resort, in Itacare, Bahia.

Currently, it posses’ more than 22 million square meters of land in the Rio de Janeiro, Ceara and Santa Catarina states. REX is expected to commence business within three areas of operations namely real estate construction, incorporation, urbanization programs and income generational property related projects.

However, the fresh start up has business plans that primarily aim at markets within which EBX has existing projects or within which EBX is developing projects currently. REX chief executive officer Marco Adnet said the firm’s sole objective as it commences operations will be to stick to concepts that showcase quality and efficiency.

In that regard, the firm has already planned the commissioning of some projects soon, with one project to be located in the area around the EBX groups’ industrial port complex in Açu, São João da Barra (in the north of Rio de Janeiro state) – which will see the creation of a large scale sustainable housing complex that is estimated to be able to serve up to 250,000 people.

Other than that, the group has as well approached the executive director of one of Brazil’s leading developers – Rossi Residential – to assist, of which the outcome of talks is yet to be confirmed.

Eike Fuhrken Batista, more commonly known as Eike Batista or simply Eike is a Brazilian billionaire entrepreneur with a host of business in different sectors. He has founded companies in different business sectors but mainly in mining. He is the son of Eliezer Batista da Silva, a longtime head of mining company Vale. As of 2010, he was ranked the eighth richest person in the world.

Recently referred to by Money Week as a ‘class A Brazilian eccentric’ Eike Batista possesses the highest net worth in Brazil and has founded several companies, mainly related to mining.  His father, Eliezer Batista da Silva, is director of Brazil’s prominent mining company Vale.

The company acquired the refurbished Bela Paulista Building located on the 2421 Avenue Paulista in Sao Paolo. The building is considered one of the foremost prestigious office buildings in the Sao Paolo state. It comes as the company’s latest real estate acquisition in the country after a string of other investments to bolster its position. The company said it acquired the building at 54.5 million Brazilian reals, and the property has a cumulative area of about 6,542 square meters that can be let with retail space at ground and mezzanine levels.

Additionally, the building has 14 floors of office space above. As it is, the office tower is almost complete from the mega refurbishments it has been undergoing and according to the firm; letting is going on currently with more than half of the floor space already let. Standard Life Investments said the acquisition marks a revisionary income yield of 12.1 per cent.

The company’s second Brazilian acquisition is the Madison Building that is found in Vila Olimpia, in Sao Paolo as well and has six floors, with about 1,500 square floor plate and some 8,432 square meters of space that can be let. Standard Life acquired the building for an estimated 52 million reals, which marks a net reversionary yield of about 11.2%. It has also been let already to Brazilian domestic firms. The company began its Brazilian venture with the acquisition of the Alana II Building last year for an estimated 15 million reals. This property is also in Sao Paolo.

Standard Life Investments plc is a major asset managing company headquartered in Edinburgh, Scotland and operates across the globe. Formerly a mutual society, since 10 July 2006, the company has been listed on the London Stock Exchange. It is a constituent of the FTSE 100 Index and was founded in 1825. Standard Life provides life assurance and pensions, investment management, banking and healthcare insurance products to over 6 million customers worldwide.