Caixa Seguridade has filed for a follow-on share offering entailing the sale of 82.5 million common shares owned by Caixa Economica Federal. The expected total for the offering is approximately 1.32 billion reais ($227.94 million), with pricing scheduled for March 19 and management by major financial firms.
Caixa Seguridade, a Brazilian state-run insurance company, announced on Sunday its filing for a follow-on share offering, which will involve a secondary sale of stock owned by its principal controller, Caixa Economica Federal. This strategic move was anticipated following the company’s prior disclosure in late 2024 regarding the authorization of the offering by Caixa, which possesses over 80% ownership of Caixa Seguridade.
The forthcoming offering is set to include the sale of 82.5 million common shares. Based on the company’s stock price, which closed at 15.99 reais per share on the preceding Friday, the total value of this deal is approximately 1.32 billion reais, equating to around $227.94 million.
Pricing for the offering will occur on March 19. The transaction is being managed by a group of prominent financial institutions, namely Itau BBA, Caixa Economica Federal, BTG Pactual, Bank of America, and UBS BB.
The projected gains from this offering are poised to provide Caixa Seguridade with a notable influx of capital, enhancing its financial position and enabling further investment initiatives.
In summary, Caixa Seguridade’s filing for a secondary share offering signifies a strategic financial maneuver approved by its controlling entity, Caixa Economica Federal. The sale of 82.5 million common shares is expected to raise approximately 1.32 billion reais. The pricing set for March 19, alongside the involvement of top financial institutions, enhances the credibility and ambition of this transaction. This development emphasizes Caixa Seguridade’s proactive approach in bolstering its market position and financial resources.
Original Source: www.tradingview.com
