Multiplan Extends Weekly Gain After Asset Sale: Sao Paulo Mover
Multiplan Empreendimentos Imobiliarios SA (MULT3), a Brazilian real-estate developer, headed to the biggest weekly gain in five months after announcing the sale of one of its office buildings to Oracle Corp. (ORCL)
Shares rose 0.9 percent to 42.09 reais at 3:50 p.m. in Sao Paulo. The gains extended their advance this week to 7.1 percent, the most since September. The company is also trading at the highest price since the company listed shares in July 2007. The benchmark Bovespa index rose 1.3 percent.
The company sold Morumbi Business Center, an office building in Sao Paulo, to Oracle do Brasil Sistemas Ltda., a unit of Oracle Corp., for 165 million reais ($95.8 million), the company said in a statement posted on its website yesterday.
“The implied valuation of the transaction was very accretive to Multiplan” at approximately 18,000 reais per square meter, analyst Guilherme Rocha from Credit Suisse Group AG said in a note to clients yesterday.
Housing prices in Brazil averaged 6,185 reais per square meter in December, according to the economics research institute known as Fipe.
Multiplan said sales in the shopping malls it operates rose 13 percent to 8.5 billion reais last year, according to preliminary results published on Jan. 5.
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