Caixa Seguridade Announces Secondary Share Offering to Raise Funds

Caixa Seguridade has filed for a secondary share offering, involving 82.5 million shares from its majority owner, Caixa Economica Federal, aiming to raise approximately 1.32 billion reais. Pricing is set for March 19, with significant participation from major financial institutions.

Caixa Seguridade, the Brazilian state-run insurance firm, has announced its filing for a secondary share offering, which will consist of shares owned by its controlling entity, Caixa Economica Federal. The decision comes after a period of preparations, as the company previously revealed plans for this move in late 2024, securing authorization from Caixa, which holds over 80% of its shares.

The filing indicates that Caixa Seguridade intends to offer 82.5 million common shares. Based on the most recent closing price of 15.99 reais per share, the anticipated total for the share offering is approximately 1.32 billion reais, equating to around $227.94 million.

The pricing for this share offering is scheduled for March 19, 2023. Esteemed financial institutions such as Itau BBA, Caixa Economica Federal, BTG Pactual, Bank of America, and UBS BB are overseeing the transaction, ensuring a structured process for this significant equity sale.

In summary, Caixa Seguridade’s announcement of a secondary share offering marks a pivotal financial maneuver authorized by its majority controller, Caixa Economica Federal. The offering aims to capitalize on market conditions, with substantial shares slated for sale at a potentially lucrative valuation. The backing of prominent financial institutions highlights the transaction’s importance in Brazil’s financial landscape.

Original Source: www.tradingview.com