Category: Equity

UAB Motors and Tempo Participacoes have filed to go public on the Bovespa this week. UAB Motors is an autoparts maker that services Brazil’s largest manufacturers, including Volkswagen, Ford, GM and Fiat. JPMorgan is leading that offering. Tempo Participacoes, a marketing and consulting firm, has tapped UBS Pactual for its offer.

Helbor Empreendimentos, a small Brazilian real estate developer, and Agrenco, an offshore-based agriculture company, were slated to price IPOs late Tuesday. Things were looking far from rosy – in stark contrast to the Bovespa – underscoring investor preference for liquidity in these uncertain global times. Helbor slashed the low end of its price range to BRL13.00, from BRL16.00 earlier this month, and it is expected to come close to the bottom of that, say bankers close to the process. This would mean an equity raise of around BRL312m. Meanwhile, Agrenco, which had set a BRL13.00-BRL17.00 target band, was also expected to come near the low end, despite its larger size and better sector differentiation, to raise up to BRL960m. Bradesco BBI and UBS Pactual are leading Helbor, while Credit Suisse is running Agrenco. Underscoring the “size matters” equity argument, Thursday’s deal from Amil, a healthcare provider, is expected to do well, according to bankers away from it. The company could raise up to BRL1.6bn, according to Dealogic.

Brazil’s Bovespa Holding will this morning close the books on its jumbo IPO, the largest of the year for LatAm, which could raise as much as $3.7bn. By all indications the sale should be a blowout, according to a salesperson away from the book, who hears it 20x covered with more than 400 accounts participating. “It’s a phenomenal deal,” says a senior ECM banker away not working on the offer. He adds that exchange IPOs around the world have been extremely popular, and that this one in particular will be a large, liquid name, making it a benchmark in all respects. A $3.7bn size would be achieved if the offer prices at the top end of the updated BRL20.00-BRL23.00 range and the underwriters exercise the greenshoe. Goldman Sachs and Credit Suisse have joint books. UBS is the international manger and Itaú BBA and Bradesco BBI are joint lead managers. Co-managers include BB Securities, Deutsche Bank, HSBC and Santander. Proceeds will go to the secondary shareholders, brokerages, investment banks and individuals that hold seats on the Bovespa. Bovespa Holding also controls CBLC, the depository and clearing house.

Brazil’s Bovespa Holding will this morning close the books on its jumbo IPO, the largest of the year for LatAm, which could raise as much as $3.7bn. By all indications the sale should be a blowout, according to a salesperson away from the book, who hears it 20x covered with more than 400 accounts participating. “It’s a phenomenal deal,” says a senior ECM banker away not working on the offer. He adds that exchange IPOs around the world have been extremely popular, and that this one in particular will be a large, liquid name, making it a benchmark in all respects. A $3.7bn size would be achieved if the offer prices at the top end of the updated BRL20.00-BRL23.00 range and the underwriters exercise the greenshoe. Goldman Sachs and Credit Suisse have joint books. UBS is the international manger and Itaú BBA and Bradesco BBI are joint lead managers. Co-managers include BB Securities, Deutsche Bank, HSBC and Santander. Proceeds will go to the secondary shareholders, brokerages, investment banks and individuals that hold seats on the Bovespa. Bovespa Holding also controls CBLC, the depository and clearing house.

Helbor Empreendimentos, a small Brazilian real estate developer, and Agrenco, an offshore-based agriculture company, were slated to price IPOs late Tuesday. Things were looking far from rosy – in stark contrast to the Bovespa – underscoring investor preference for liquidity in these uncertain global times. Helbor slashed the low end of its price range to BRL13.00, from BRL16.00 earlier this month, and it is expected to come close to the bottom of that, say bankers close to the process. This would mean an equity raise of around BRL312m. Meanwhile, Agrenco, which had set a BRL13.00-BRL17.00 target band, was also expected to come near the low end, despite its larger size and better sector differentiation, to raise up to BRL960m. Bradesco BBI and UBS Pactual are leading Helbor, while Credit Suisse is running Agrenco. Underscoring the “size matters” equity argument, Thursday’s deal from Amil, a healthcare provider, is expected to do well, according to bankers away from it. The company could raise up to BRL1.6bn, according to Dealogic.

Direcional Engenharia, a Belo Horizonte, Brazil-based construction firm, has filed a Brazil IPO. The company builds and sells residential properties in the states of Rio, São Paulo, Amazonas, Brasília and Minas Gerais. If it goes public, it will join a very crowded pool of publicly traded real estate developers, though its geographic diversification away from São Paulo may give it some advantage. ABN AMRO Banco Real is leading the offering, one of the more unusual aspects of the transaction as the Dutch Bank has to date played a small role in the Brazil equity party.

Argentina’s Grupo Clarin raised $463m in an IPO. Shares priced at ARP29.14, the low end of an estimated ARP28-ARP35 range. Investors also paid $18.50 for each GDR in London. Proceeds from the sale of 50m shares, or 18% of the company, will repay debt and finance expansion. The shares began trading in Buenos Aires Friday and will start trading in London October 25. Goldman Sachs and Credit Suisse are global coordinators. JPMorgan will lead a group of investment banks managing the international sale, with Merrill Lynch and Itau as co-managers. Credit Suisse was given an option to allocate an additional 7.5m shares.

Chilean real-estate developer Socovesa raised $141m in a Santiago IPO. Socovesa sold 265m shares, or 25% of the company, at CHP265.00 ($0.53) per share. Proceeds will be used to partially finance the August purchase of rival Almagro, and for expansion projects. IM Trust led.

Direcional Engenharia, a Belo Horizonte, Brazil-based construction firm, has filed a Brazil IPO. The company builds and sells residential properties in the states of Rio, São Paulo, Amazonas, Brasília and Minas Gerais. If it goes public, it will join a very crowded pool of publicly traded real estate developers, though its geographic diversification away from São Paulo may give it some advantage. ABN AMRO Banco Real is leading the offering, one of the more unusual aspects of the transaction as the Dutch Bank has to date played a small role in the Brazil equity party.

Chilean real-estate developer Socovesa raised $141m in a Santiago IPO. Socovesa sold 265m shares, or 25% of the company, at CHP265.00 ($0.53) per share. Proceeds will be used to partially finance the August purchase of rival Almagro, and for expansion projects. IM Trust led.