Category: Equity

Brazilian real estate company Helbor Empreendimentos plans to raise up to BRL443.7m in an IPO, it says in a regulatory filing. It will begin selling 21.1m shares October 25, at BRL16-BRL21. Investors can reserve shares October 17 through October 22. It will offer 3.17m additional shares if there is sufficient demand. Bradesco is leading the transaction, with UBS Pactual and Banco Safra in the group.

BicBanco and Construtora Tenda are slated to bring IPOs today, according to Dealogic. BicBanco has set a range of BRL11.00-BRL14.50 for its sale of 71.4m shares, which, at the midpoint, means it could raise $485m. BicBanco would be only the latest of a string of mid-sized banks to come to market in Brazil this year, and investors are expected be particularly choosy with these and IPOs from real estate developers. BBI is leading. Construtora Tenda, a real estate developer, is eyeing a BRL9.00-BRL12.00 offering of 77m shares, which could leave it with $439m after the offering. Itaú BBA and Credit Suisse are the leads.

Bovespa Holding plans to raise up to BRL5.3bn in a stock offering October 26. The company that owns the São Paulo stock exchange expects the 250.5m shares to be priced BRL15.5-BRL18.5, and may offer an additional 37.6m shares depending on demand. The expected proceeds would place it among the biggest share sales in the country’s history. Goldman Sachs and Credit Suisse are leads and joint bookrunners, with UBS Pactual as international manager. Itau, Bradesco, Banco do Brasil, Deutsche Bank, HSBC and Santander are also in the underwriting group.

Brazilian IPOs are finding it hard to meet the lofty expectations they and their bankers have been setting for themselves, further evidence that in the current environment, smaller, lesser known names will meet strong resistance. “Investors are tired of looking at small companies, and are being very conscious of liquidity,” notes an ECM banker at a major equity house. Trisul, a construction company, is expected to price its 33m share issue today in a range of BRL13.00-BRL15.00, but one experienced banker away from the deal predicted it could come with a hefty discount, at BRL11.00. JPMorgan and Morgan Stanley have joint books, according to Dealogic. Both Tenda and BicBanco priced equity late Wednesday evening below the midpoint. The former came at BRL9.00, versus a BRL10.50 midpoint, and the latter at BRL11.50, compared to a midpoint of BRL12.75. Sul America, an ING-owned insurance outfit, began trading on October 4 at BRL31, but has since dropped to below issue price. BB and HSBC led that offering. Also on deck in LatAm equity are Clarin, Marisa, Clinica las Condes, Helbor, Bovespa, Amil, Brasil Brokers, Laep, Agrenco and BR Malls, coming with a rights offering.

Brazilian health-care provider Amil Participações plans to raise as much as BRL1.6bn through the sale of 87m shares in IPO, it said in a filing. It expects the shares to price at BRL13.5-BRL18.5. Credit Suisse and UBS Pactual are joint bookrunners, with Santander as a co-manager.

Shares of Banco Patagonia Thursday gained 4.33% to 3.85 Argentine pesos on the Buenos Aires stock exchange amid speculation that the company is a takeover target, according to Dow Jones. Brazil’s Banco Itau was allegedly interested in buying the bank, the newswire reported, citing TPGC, a broker in Buenos Aires. Patagonia went public in July.

Nearly six months after an IPO, Brazilian developer BR Malls is planning a secondary offering of 20m shares, it said in a filing. At current share price of around BRL22, the October 19 sale would bring proceeds of BRL440m. UBS Pactual, Itaú and Citi will lead the transaction. The announcement comes after American investor Sam Zell, who holds 19% of BR Malls, said he plans to invest another BRL75m in the company.

Grupo Clarin’s planned IPO will raise $450m-$560m to retire debt at one of its subsidiaries and fund possible acquisitions of complimentary businesses, it said in a statement. The Argentine media company plans to sell 50m shares, a 17.5% stake, at ARS28-ARS35 October 19 in London and Buenos Aires. Goldman Sachs and Credit Suisse are the global coordinators and bookrunners, with JPMorgan as international lead manager and Merrill Lynch and Itaú as international co-managers.

Brazilian clothing retailer Marisa plans to raise up to BRL739m in an IPO, it said in a stock market filing. The company will float 44m voting shares at BRL10-BRL14, with existing shareholders offering 8.8m units at the same price. Credit Suisse will lead the offering, with UBS Pactual, HSBC and Banco Safra as co-managers.

Argentine media company Grupo Clarín plans to raise between $450m-$560m by selling a 17.5% stake through an IPO in Buenos Aires and London, according to wire reports citing a presentation to the Buenos Aires stock exchange. The publisher of the Clarin newspaper plans to sell 50m shares at between ARS28-ARS35, pricing on Oct.19. Holders will offer 35m shares, including Goldman Sachs, which is reduce its stake to 10% from 18%. Proceeds are expected be used to fund Clarin’s investments in new technology and regional expansion. The offering is being led by JPMorgan and Credit Suisse.