Vale (VALE) said Monday it will repurchase for 42 Brazilian reais ($7.89) each all of the participating debentures it issued in 1997.

Holders have until Oct. 31 to express their intent to sell their debentures, the Brazilian miner said.

The company said the repurchase seeks to optimize its capital structure through management of financial liabilities while also strengthening its capital allocation strategy.

Vale shares were up almost 2% in recent trading.

Price: 11.21, Change: +0.20, Percent Change: +1.85