Brazil development bank to invest in second-generation biofuels plant

Brazil’s state development bank (BNDES) will invest 600 million reais (US$294 million) in bioenergy firm GraalBio’s cellulose ethanol plant, which is slated to open in early 2014.
BNDES will make the contribution through its investment holding company BNDESPar, to help GraalBio develop second-generation biofuel technologies at its plant in Alagoas state in the northeast.
In exchange, BNDES will get 15% of GraalBio’s shares and a seat on the firm’s board of directors.
GraalBio’s plant, with an annual capacity of 82 million liters, would be the first second-generation ethanol plant in the southern hemisphere.