By Rogerio Jelmayer
SAO PAULO--International investors bought 58.36% of shares sold
through the initial public offering of Brazilian pensions and
insurance company BB Seguridade Participacoes SA (BBSE3.BR), which
posted world's biggest IPO so far this year.
Earlier this year, state run bank Banco do Brasil Sa (BBAS3.BR),
which controls the company, said it raised 11.47 billion Brazilian
reais ($5.73 billion) in a spinoff of BB Seguridade.
The bank sold a total of 675 million common shares, with
international investors buying 393.9 million shares, it said Friday
in a statement, where it provided details of the number of
investors in the IPO.
The volume acquired by international investors in the IPO was
below the historic level of around 70% saw by others operations in
Brazil, as the bank made an effort to sell shares to individual
investors.
Individual investors acquired 15% of the shares offered.
Historically, those investors typically buy much less than 10% of
shares sold via IPOs.
The rest of company's shares were acquired by investments funds,
among others.
Prior to this deal, the world's biggest IPO this year was
animal-health company Zoetis Inc. at $2.57 billion. BB Seguridade
also represents Brazil's largest IPO since October 2009, when Banco
Santander Brasil SA, the Brazilian unit of Spanish bank Banco
Santander SA (SAN.MC), raised 13.2 billion reais.
The amount of shares sold by Banco do Brasil represents a 33.75%
stake in BB Seguridade. The parent company will remain the
controlling shareholder with a 66.25% stake.
Banco do Brasil said it will net BRL9.42 billion from the sale
of its stake in BB Seguridade. The difference with the total value
raised was attributed by the bank to the costs with fees for banks
and law firms, and taxes.
Write to Rogerio Jelmayer at rogerio.jelmayer@dowjones.com