Brazilian Software Specialist Preps IPO

Linx, a Brazilian provider of software to the retail sector, is preparing to go public, according to regulatory documents. The IPO is to include primary shares as well as secondary shares sold by a private equity fund linked to Itau. The size and timing remain to be determined. Linx booked BRL56m ($27m) in Ebitda in 2011, up from BRL40m in 2010. It is seeking to raise funds for acquisitions and for working capital. BTG Pactual, Credit Suisse, Itau and Morgan Stanley have been hired to manage the sale. Linx offers both cloud-based and on-premises products for Brazilian retailers. It has been operating for 27 years and claims 29% of the market share. Other Brazilian IPOs in the pipeline include water utility Cedae, Vix Logistica and AutoBrasil, with all appearing to be waiting for January at the soonest.