Ouro Verde Takes IPO Step

Brazilian fleet outsourcing provider Ouro Verde has made the initial registration for its planned IPO. The amount and timing remain to be determined, though officials have previously told LatinFinance that the company would target up to BRL1bn ($450m). The company plans to use 77% of the primary proceeds for organic growth and 23% for working capital, according to a regulatory filing. The deal will also include a secondary portion of shares sold by founder Celso Antonio Frare – who is raising funds for a reorganization of his holdings, putting the Martini Meat and Ritmo Logistica units under the Novo Oriente vehicle through which he controls Ouro Verde. Ouro Verde booked BRL177m in Ebitda in the first half of this year, up from BRL132m in the corresponding part of 2012, and saw BRL281m Ebitda in full-year 2012, following BRL334m in 2011. Credit Suisse, HSBC, Itau and Santander have been hired to manage the sale.