Brazilian ethanol, sugar equities plunge in Q3; Cosan announces share buy back; indexes down more than 50 percent

In Brazil, share prices of renewable energy indexes and giants have been crashing despite the robust outlook for clean energy. The New Energy Finance Renewable Energy Index benchmark fell 65.5% in the third quarter, with sugar giant Sao Martinho dropping 55.9 percent and Acucor Guarani (the largest ethanol stock on Bovespa) plunging 81.5 percent over the past quarter. The appreciation of the US dollar by 22 percent in October against the Brazilian real has been partly credited for the recent fall in share prices. Cosan’s shares have dropped 59 percent in the third quarter, promoting the company to announce that it will buyback up to 8 million shares of its Brazilian subsidiary.

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