Brazilian reinsurer IRB Brasil Resseguros SA (IRB Brasil Re) has said that shareholders BB Seguridade Participações and the Brazilian Treasury raised 7.4 billion reais (US $1.99 billion) in a planned share offering yesterday.
IRB Brasil Re set the price per share at 88 reais ($23.54) in the secondary share offering, according to a securities filing.
The move comes as part of a wider shift in the Brazilian Government which is looking to offload state-owned assets, some analysts have suggested.
IRB Brasil Re disclosed in its original announcement that the offering would comprise 83,978,450 of its common shares held by the company’s shareholders.
This consisted of 47,520,213 common shares from BB Seguros Participações and 36,458,237 common shares from the Brazilian Federal Government.
The shares of the Brazilian Government were held in the National Privatization Fund managed by the Brazilian National Development Bank.
The investment banking units of Banco do Brasil SA, Bank of America, Banco Bradesco SA, Caixa Econômica Federal, Citigroup Inc, Itaú Unibanco Holding SA and UBS Group AG managed the offering.
Additional IRB share are due to start trading on Sao Paulo’s B3 SA stock exchange on July 22.
