Brazils Bankers Prepare Floats for Carnival with Difference


With Brazils normally ebullient Carnival likely to be curtailed by coronavirus next year, investment bankers are planning their own parade with a long lineup of Brazilian share offerings.

As COVID19 vaccine hopes and record low interest rates entice investors into stocks, 30 firms are limbering up to list in Latin Americas largest economy in the first quarter of 2021, more than made their market debut during the whole of 2020.

The backlog means that bankers who would usually head for the beach between New Year and Carnival in February will now be preparing a different kind of float from their virtual offices.

From steelmaker Companhia Siderurgica Nacionals mining unit to Brazilian Walmarts rebranded chain BIG, which is controlled by private equity firm Advent, the list reflects an eagerness among key shareholders to cash out or to raise fresh funds to finance growth.

Despite the coronavirus crisis, this year is set to end as Brazils busiest in the last 13 for share offerings, with 60 initial public offerings and followons raising roughly 28.4 billion, also the highest volume in a decade.

But bankers are prepping for an even bigger equityraising party in 2021 by Brazilian companies.

2021 has all the potential to surpass 2007 in number of deals, Claudia Mesquita, head of equity capital markets at Banco Bradesco SA, told Reuters.

There were 88 share offerings by Brazilian companies in 2007. In terms of volume, Bank of America predicts some 150 billion reais 29.5…

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