Category: Equity

Ecuador is planning IPOs of two state-owned telecoms companies — Andinatel and Pacifictel. Shares of the fixed-line operators will be sold to the public via the local exchanges in Quito and Guayaquil. Privatization of the companies has been tried before but failed in the face of fierce employee and union resistance.

Chilean salmon producer Invermar has raised $22 million through listing 23% of its stock on the Santiago Stock Exchange. Invermar is part of local family-controlled food group Invertec. The company will use the money raised to help with expansion. It plans to focus on the Asian market, in particular China.

Canadian mining company Aur Resources Inc has said it plans a secondary listing on the Santiago Stock Exchange in Chile. It would be the first foreign company in this sector to do so. The company already lists on the Toronto Stock Exchange. Aur Resources controls two mines in Chile – Quebrada Blanca and Andacollo. There is currently only one local mining company listed on the exchange.

Stockholm-based telecoms services provider Ericsson has won the contract to be the exclusive GSM network provider for Movistar Uruguay, the mobile phone operator belonging to Spanish group Telefónica Móviles.

Brazilian internet provider, Universo Online (UOL) has registered with the Brazilian Securities Commission to float on the São Paulo stock exchange, Bovespa. The IPO will be led by US investment bank Merrill Lynch.

The Quito Stock Exchange, the Securities Commission and the Business Superintendence have launched a joint initiative to provide an alternative financing system for start-ups to sell shares on the stock market. Five companies will be selected initially to raise around $20,000 each in the market.

Aguas Metropolitanas, the Chilean affiliate of Aguas de Barcelona plans to float 49.9% of its capital on the stock exchange. The IPO will be made through the exchange to domestic and foreign institutional investors. Aguas Metropolitanas hopes to make a secondary offering at the end of November. In Chile the issue is being managed by Banchile, Celfin Capital and Santander Investment. The arrangers of the issue outside the country are Central Hispano Investment Securities and UBS Investment Bank.

Mexican chemical manufacturer Mexichem has made a public offering of 97.7 million shares worth $122.1 million via the Mexican Stock Exchange. The funds raised will be used to invest in strategic projects, said the company.

Colombian markets climbed after a Constitutional Court ruling opened the way for President Alvaro Uribe to run for a second four-year term in 2006. The IGBC stock index opened with a 3% rally but profit-taking quickly drove prices down. The IGBC closed up 1.13% for the day. Yields on the government’s benchmark 2014 bond opened at 8.32%, close to a historic low, but picked up to end the day at 8.67%. Merrill Lynch raised its recommendation on Colombian debt to market weight from underweight.

Carso Infraestructura y Construcción (Cicsa), one of Mexican magnate Carlos Slim’s companies, is to float around 25% of the company’s capital on the Mexican Stock Exchange before the end of October. The company hopes to raise up to $400 million through the IPO of 620 million shares. Slim’s companies now comprise over 43% of Mexico’s principal stock index, the IPC. The tycoon’s companies cover a range of industries and include telephone carrier Telmex, cell phone operator América Móvil, conglomerate Grupo Carso and most recently listed infrastructure company IDEAL.