Foreigners Scoop up MRV Follow-On

Brazil low income housing specialist MRV placed 70% of the shares it issued in last month’s BRL722m follow-on in foreign hands, according to the company’s final prospectus. The figure is flat to slightly above the typical breakdown for IPOs and follow-ons for Brazilian companies. Some 265 foreign accounts scooped up 20.6m of the 29.5m units offered. In Brazil, the bulk of the local offering was placed with 206 investment funds, 42 investment pools and 36 pension funds, while 1,310 retail investors bought up 1.6m shares, or 5.4% of the issue. The offering, priced on June 23, consisted of 24.3m primary shares and 5.2m secondary units, all offered at BRL24.50 per share. Underwriters exercised their 15% greenshoe option of 3.37m shares in a trade which closed on July 8. UBS Pactual, Credit Suisse and Santander led the deal.