Telemar abandons US IPO

27 Sep 2006

Brazilian telecoms operator Telemar has abandoned plans for an initial public offering (IPO) in the US, citing unfavourable market conditions. The company has filed notice to withdraw the sale of up to 1.46 million common shares for between USD1.23 and USD1.36 per share with the Securities and Exchange Commission. BNamericas writes that the offering was part of a corporate restructuring under which Tele Norte Leste (TNL) shareholders would exchange their shares for Telemar’s newly issued common shares. TNL would then become a wholly owned subsidiary of Telemar. UBS Investment, Morgan Stanley and Pactual were said to be underwriting the offering.

Brazil, Oi