Itaú BBA
Category: Equity
Posted inMagazine
Happy Farewell to 2011
Bankers and would-be issuers were no doubt happy to see the calendar turn past what was a lackluster 2011. Though Santander Chile’s $950 million follow-on met with success in December, […]
Posted inDaily Brief
Peru Port Operator Pushes Back Equity Pricing
Andino Investment Holding is readying an IPO of as much as $60m-equivalent for Thursday, after initially scheduling the auction for today. The port and logistics operator is looking to sell 15m-30m shares. It has set a PES4.70 minimum price, and is heard likely to sell at around PES5.10 each. If the full amount is sold at this price, the issuer is could raise PES153m ($57m). Proceeds would be used to reduce debt and for expansion projects. BCP is managing the sale. Andino borrowed $85m from Goldman Sachs last year to purchase fellow port operators Neptunia and Agencia Maritima.
Posted inDaily Brief
Copec Seeks Higher Stake in Proenergia
Compania de Petroleos de Chile (Copec) has notified Colombian regulators that it plans to acquire an additional 9.99% of Proenergia Internacional for COP123.2bn ($61.6m). The Chilean energy company has an established agreement to buy the stake, or 13.3m ordinary shares, from Corporacion Financiera Colombiana. It will carry out the transaction through the Colombian exchange by launching a public offer at COP9,280 per share, Copec says. The company already owns 56.15% of Proenergia. Officials at Copec or the Corporacion Financiera Colombiana could not immediately be reached for further comment. Corredores Asociados was retained by Copec, while the Sociedad Comisionista de Bolsa will advise the Corporacion Financiera Colombiana. Copec acquired an initial 47.2% stake in Proenergia when it bought the assets of AEI in Colombia last year.
Posted inDaily Brief
Alfa’s Alpek Revives IPO Hopes
Mexico’s Grupo Alfa has made initial filings for an IPO of its Alpek Petrochemichals subsidiary, it says. The conglomerate does not give further indications of timing or other details, but Credit Suisse, Citi, HSBC and Morgan Stanley are heard to be managing the process. The plan is to sell a Mexican registered portion in the local market, and a 144A issue abroad. Any deal wanting to price using the September 30 numbers would need to happen by the second week of February, according to ECM bankers. Both bankers and investors see large blue-chip names as the key to opening the region’s new issue markets this year and to reviving them from last year’s weak pace. “Volatility is down and investors are ready to analyze transactions,” says an ECM banker away from Alpek. “Especially with IPOs, valuations are under pressure. Whoever jumps first has to be good and large,” says another. Alpek has 21 plants in 3 countries, and booked $4.8bn in revenues in 2010. Elsewhere in the market, Andino Investment Holdings is readying a Peru local-only IPO, and Cementos Pacasmayo is planning a New-York follow-on. Bancolombia kicked the year off with an $885m follow-on set to close later this month, and the first Brazilians out of the gate could include IPOs from travel agencies CVC and Brazil Travel.
Posted inDaily Brief
BTG Flips Vanguarda Stake
BTG Pactual has raised BRL112m ($62m) from the sale of shares in Vanguarda Agro in a public auction. The sale of the 295m shares, or 12.7% of the company, comes just days after BTG disclosed it had acquired a 10.9% position in the biofuels company as repayment for a debt. The BRL0.38 price represents a slight premium to the previous day’s BRL0.36 close. Vanguarda shares closed at BRL0.36 Friday.
Posted inDaily Brief
LatAm Equity Flows Defy EM Surge
EM equity funds continued to see a positive start to 2012 after bringing in $1.84bn for the week ending January 11, though LatAm funds stumbled with $74m in outflows, according to EPFR. Performance news continued to be good, with LatAm funds up 3.94% for the week and 6.52% for the year, according to Lipper. EM funds gained 2.14% on the week and 3.87% for the year. That compares to a 2.32% gain among global small and mid-cap funds, which are up 3.65% on the year.
Posted inDaily Brief
Cicsa Launches Delisting Buyback
Carlos Slim’s Grupo Carso is offering to buy the remaining 32.82% it does not own in Carso Infraestructura y Construccion (Cicsa) construction company. In a deal that could cost up to MXP6.80bn ($501m), the company is offering MXP8.20 per share to holders of the 829m outstanding shares, it says. The price represents a slight premium to Thursday’s MXP8.15 close. The offer closes February 9, but can be extended at the company’s discretion. Inbursa is managing the process. If a 95% threshold is reached, Carso plans to delist Cicsa.
Posted inDaily Brief
Colombian Builder Eyes IPO
Construcciones El Condor may soon move forward with an IPO soon in Colombia’s local market, according to bankers following the process. The deal should raise about $70m-equivalent and launch at the end of January or early February. Bancolombia is managing the transaction.
Posted inDaily Brief
Brazil Travel IPO Heard Close to Launch
An IPO from Brazil Travel Turismo e Participacoes could launch as soon as this month if market conditions hold up, according to bankers and investors following the process. New equity issuance, particularly IPOs, remain a tricky proposition, but low volatility so far in 2012 has encouraged the larger and more solid members of a large backlog to consider stepping forward. Brasil Travel, a holdco formed in March 2011 for 35 companies involved in travel-related businesses, filed papers last month for a primary and secondary share offering expected to be about BRL500m ($278m). Investors say the main selling points would be the industry, and the leadership of Paulo Castello Branco, a former VP of Brazilian airline TAM, and ex-BTG Pactual partner Pedro Guimaraes. Barclays, Credit Suisse and Flow Corretora are managing the sale. Also towards the front of the line is fellow travel agency CVC, set to IPO in an all-secondary share deal representing a selldown of the Carlyle Group’s position. The markets are also expecting follow-ons from larger Brazilian issuers to get the market moving.