Brazilian Builder Plans IPO

Brazil’s Norcon has filed to sell shares on the Bovespa. The 50-year old residential builder and developer based in the northeastern state of Sergipe plans to use the proceeds for land acquisition, infrastructure development, refinancing of debt and for general purposes. No further details were disclosed. Credit Suisse will manage the sale. While close to 20 residential developers have gone public in the past two years causing sector fatigue among investors, few developers outside the Sao Paulo and Rio areas have attempted offerings. That should provide Norcon with a much needed edge when it comes to marketing the deal to the buyside.