BTG Looks Abroad with RE Fund Reopening

BTG Pactual has launched a follow-on sale of shares in its corporate real estate fund, according to sources following the process, targeting international investors along with Brazilians as it looks to raise BRL2bn ($985m). In what is being billed by the issuer as the first international Brazilian REIT – though it is not technically a REIT – the Fundo de Investimento Imobiliario (FII) BTG Pactual Corporate Office Fund is set to sell 6.2m primary quotas, as the shares are known, and 6.9m secondary quotas. The 144a sale would raise BRL2.01bn if done at Monday’s BRL153.60 closing price. Investor meetings are scheduled to begin today in Brazil, and hit the US next week. The process is expected to close by mid-November. The fund initially raised BRL700m in 2007 and invests in commercial property in Brazil. BTG, Bank of America Merrill Lynch, Bradesco, Credit Suisse and Santander are managing the transaction.