Brazil’s Daycoval Extends Mid-Cap Run

Banco Daycoval, a mid-sized Brazilian bank, is close to filing an IPO with the local market regulator CVM. UBS-Pactual and Goldman are heard to be leading the offering. The São Paulo-based bank booked revenues of $218m in 2006, a 60% rise over 2005 sales. By the time Daycoval makes it to market, there will likely be five other mid-sized banks that will have gone public. The first mid-market financial institution to do an IPO in Brazil was Banco Pine, at the end of March. In the pipeline are Banco Cruzeiro do Sul, Banco Bonsucesso, Paraná Banco and Banco Sofisa, which prices tomorrow via UBS-Pactual.