NEW YORK (TheStreet) -- Shares of Petrobras (PBR) - Get Report are gaining 1.36% to $8.17 in pre-market trading on Friday as it accelerates asset sales in an attempt to diminish its roughly $126 billion debt load.
Brazil's state-owned oil company has sold a 66% stake in its offshore license to Norway's Statoil (STO) for $2.5 billion, according to a statement released this morning.
Petrobras announced yesterday that it has begun exclusive discussions with Mexican petrochemicals company Alpek about selling its stakes in petrochemical units Petroquimica Suape and Citepe.
Additionally, the company plans to sell a controlling stake in its fuel distribution subsidiary BR Distribuidora.
The sales are part of Petrobras's plan to raise about $15 billion through asset sales by year-end.
Petrobras is scheduled to report 2016 second-quarter earnings after the market close on August 11.
Separately, TheStreet Ratings team rates the stock as a "sell" with a ratings score of D.
Petrobras's weaknesses include its deteriorating net income, generally high debt management risk, disappointing return on equity, weak operating cash flow and feeble growth in its earnings per share.
You can view the full analysis from the report here: PBR
TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this article's author.