Brazil’s CVC Falls Most on Record as Carlyle, Founder Sell Stake

  • Two biggest shareholders will make secondary offer for stocks
  • Travel services agency was worst performer among small caps

Brazilian travel services agency CVC Brasil Operadora & Agencia de Viagens SA slumped the most on record Thursday after saying shareholders Carlyle Group LP and founder Guilherme Paulus will sell a combined stake of about 45 percent in the company.

The tourism operator slumped 16 percent to 21.1 reais at 12:07 p.m. in Sao Paulo, the biggest drop since it started trading in December 2013. It was the worst performer on the BM&FBovespa Small Cap index, which lost 1.2 percent.

In a secondary offer in the local and international markets, Carlyle’s BTC Fundo de Investimento em Participacoes will sell 39.1 million shares of its 60.2 million shares of CVC, while Paulus’s GJP Fundo de Investimento will sell 20.9 million of its 32.3 million shares, according to a regulatory filing dated Wednesday.

Bank of America Corp., Itau Unibanco Holding SA and Morgan Stanley will coordinate the offer. The price of the shares will be determined after the bookbuilding.

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