Brazil’s VisaNet Files for IPO

Brazilian credit card provider VisaNet has filed for an IPO on the Bovespa via the sale of secondary shares held by the banks that own it. Those include Bradesco (39%), BB Investimentos (32%) and Banco Real (14%), with Visa International also owning a 10% stake. Bradesco’s BBI unit will lead the local offering with BB Investimentos, Santander, JPMorgan and Goldman as joint leads. The main comp is Redecard, the Brazilian rival held by Citi, Itau and Unibanco that went public last year via a $2.4bn IPO, and followed up with a $724m secondary offering in January. In the quarter prior to Redecard’s offering, the company posted adjusted Ebitda of BRL317m. VisaNet’s H1 adjusted Ebitda for the period prior to IPO is BRL862m, which places the companies’ revenues in line with each other and suggests VisaNet’s IPO offering could be of comparable size to that its rival’s in 2007. Redecard went public at BRL25.00 and closed at BRL29.00 yesterday.