Interacciones Re-IPO Prices Near Bottom

Grupo Interacciones has priced near the bottom of the range an equity sale that should raise MXP4.2bn ($327m), according to people familiar with the transaction, viewed as a “re-IPO.” The Mexican specialist in public sector and infrastructure lending is selling 39m primary shares and 30m secondary shares, assuming the use of a 15% all-primary greenshoe, at MXP61.00 each. The issuer had elected to set a MXP60.00-MXP69.00 range despite the trade not technically being an IPO, as less than 10% of the shares were in the hands of non-controllers. It was not immediately clear Wednesday night what portion of the shares were placed with international versus Mexican buyers. In addition to expanding its free-float, the financial group anchored by Banco Interacciones is raising proceeds to expand operations, specifically sub-sovereign and infrastructure lending. Secondary share sellers include controller Carlos Hank and members of his family. The issuer expected a free float of at least 31% following the sale, with the Hank family taking its stake from 90% to below 70%. Barclays and Credit Suisse were global coordinators, with Banorte-Ixe and GBM as bookrunners on the domestic portion. The transaction would appear to wrap up the Mexican new equity issuance scheduled for the September-October window. Brazilian Ser Educational is scheduled to price a BRL700m ($321m) IPO Friday.