Raízen said in a statement its subsidiary Raízen Energia SA has agreed to buy 50% of Paraguay's Barcos y Rodados SA for $130 million.
In a securities filing, Raizen said $40 million will be paid to the seller upon the closing of the transaction, and $90 million will be paid in five annual instalments subject to the usual adjustments.
B&R owns 350 fuel stations in Paraguay, the filing said. As part of the transaction, Raízen will license the right to use the Shell trademark to B&R, with local service stations to gradually shift to operating under the Shell banner.
Raizen, a joint venture between Cosan SA and Shell owns Shell-branded gas stations in Brazil and Argentina.