Car Rental Plans Small-Cap IPO

Brazilian vehicle rental company LocarAlpha has filed for an IPO on the Bovespa Mais, a section of the exchange reserved for small and mid-cap listings. The Sao Paulo-based company would be the second to list on the exchange segment following the February listing of Nutriplant, which sold 2m shares at BRL10.00 each. LocarAlpha has hired Santander to lead the transaction, but has not disclosed the timing or expected size. The company generated BRL88m in revenue in 2007, up from BRL79m in 2006, from vehicle rentals, sales and outsourcing business lines. It plans to use the proceeds to expand its vehicle fleet.