BMG and C&A set stock price and raise R$3.2 billion in IPO

São Paulo — Mining bank BMG and fashion retailer C&A priced their initial stock offerings (IPO) on the floor of the coordinating's indicative range, showing moderate investor appetite for the roles, even with the stock market domestic highs reaching historic highs this week. Added to the 3.2 billion reais of the two operations, the domestic stock market exceeds R$ 10 billion in IPOs in 2019, surpassing the 6.75 billion accumulated last year. On the other hand, the result is expected to be well below the 20 billion real people moved in IPOs in the country in 2017. BMG's operation moved R$1.6 billion, with 1.2 billion of the primary offering -- new resources, the amount of which goes to the company's cash -- and $400 million in the secondary offering. BMG's main shareholder, Flávio Pentagna Guimarães, is the seller. The indicative range of the BMG IPO was defined between 11.60 reais — pricing value — and 13.40 reais per share. The operation is being coordinated by XP Investimentos, Itaú BBA, Credit Suisse, Brasil Plural and BB Investimentos. The debut of BMG's papers in the trading session is scheduled to take place next Monday (28) under BMGB11 code. C&A The IPO of C&A, one of the largest fashion retailers in the country, came out at 16.50 reais per share, also on the indicative range floor, which went up to 20 reais. The retailer's shares begin trading on B3 also on the 28th, with the code CEAB3. Both the primary and secondary tranche moved R$ 813.7 million each, totaling R$ 1.63 billion. The Brenninkmeijer family, brothers Clemens and August whose initials gave rise to the mark in the Netherlands in 1861, is a saleswoman in the secondary offering. Primary tranche resources will be used to pay off intracompany loans and for organic expansion.