Raizen stock fell 5.56 percent as debt risks sharpened

Published on 10/07/2026 at 02:46 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Raizen stock fell 5.56 percent to BRL 0.34 on October 6, after Moody's cut its rating to Caa3. Revenue rose 4 percent in Q1 2026/27.

Raizen, BRRAIZACNPR6, Illustration mit AI erstellt.

Raizen stock (ISIN BRRAIZACNPR6) fell 5.56 percent to BRL 0.34 on B3 on October 6, 2026, as the company's debt restructuring remained central to the investment case. The move followed a Moody's downgrade from Caa1 to Caa3 on October 5, 2026, with a negative outlook.

Debt rating falls to Caa3

According to El Fondo, Moody's cited elevated debt and persistent negative free cash flow when it cut the rating on October 5, 2026. The agency also downgraded USD 187 million of senior unsecured notes due in 2027 and projected leverage above 5.9 times for the 2025-2026 harvest cycle.

The downgrade adds pressure to a restructuring plan that includes a potential BRL 3.5 billion capital injection from Shell and a further BRL 500 million contribution linked to Rubens Ometto. Moody's said the proposed debt measures increase the risk of a distressed debt exchange or default-like event.

Restructuring reaches shareholders

According to ADVFN, shareholders will vote on October 30, 2026, on a package that includes a new preferred share class, a Unit program, a new board and a capital reduction of up to BRL 35 billion. The authorized capital limit could rise to 200 billion shares.

The proposed changes matter because they can alter both governance and the distribution of value between existing shareholders and creditors. The same restructuring plan covers debt conversion, refinancing and the separation of fuel distribution from sugar, ethanol and bioenergy operations.

Quarterly loss remains the counterweight

Raizen's operating picture improved in the first quarter of fiscal 2026/27. Seu Dinheiro reported revenue of BRL 51.46 billion for April through June 2026, up 4 percent from the prior-year period, while adjusted EBITDA more than doubled to BRL 3.85 billion. The net loss narrowed 11 percent to BRL 1.64 billion.

Analyst expectations remain divided. Investing.com lists a Neutral consensus from 7 analysts, with 0 Buy, 4 Hold and 2 Sell ratings. The average 12-month target is BRL 0.50, versus the BRL 0.34 price on October 6, 2026, placing the target 47.1 percent above the stock price; the published range is BRL 0.16 to BRL 1.10.

Raizen stock stays under pressure

Raizen stock was last at BRL 0.34 on B3 at 5:05 p.m. BRT on October 6, 2026. Its 52-week range was BRL 0.21 to BRL 1.13, while market capitalization stood at BRL 3.5 billion and volume reached 14,134,100 shares.