Brazilian banks holding debt in Raízen SA are intensifying pressure on parent company Cosan SA and its adviser BTG Pactual to secure improved terms in the sugar and ethanol producer's ongoing debt restructuring. According to sources familiar with the matter, these lenders, facing potential losses, are demanding concessions from Cosan, which owns Raízen, to mitigate their exposure. This push comes as Raízen navigates a complex financial restructuring process, with banks seeking lower interest rates, extended maturities, or reduced principal amounts to protect their investments.

The stakes are high for Cosan, which must balance shareholder interests against creditor demands while maintaining Raízen's operational viability in Brazil's competitive ethanol market.