CaixaBank’s $990 Million Inbursa Share Sale Tests Mexico MarketJonathan Levin
CaixaBank SA plans to sell 13.1 billion pesos ($990 million) of shares today in Grupo Financiero Inbursa SAB, helping to bolster trading in the Mexican lender controlled by the billionaire Carlos Slim.
CaixaBank will sell as many as 482.6 million shares on the Mexican stock exchange, including an overallotment option for underwriters. With the so-called greenshoe option fully exercised, CaixaBank’s stake would fall to 9 percent from 16.3 percent, bringing the public float to 34.5 percent of the total, according to an investor presentation and offering prospectus.
Mexico’s market for equity issuance is adding to a record pace even as the benchmark index heads for its worst month in four years. Mexican companies have already raised a record $5.51 billion in the first six months of the year, with construction company OHL Mexico SAB carrying out a 7 billion peso sale last week as the IPC gauge plummeted 3.9 percent in a single day.
Inbursa’s average daily trading volume of 2.6 million shares over the past three months is the lowest among four financial-sector stocks on the IPC index even though it has the highest market capitalization of the group after Grupo Financiero Santander Mexico SAB, according to data compiled by Bloomberg.
Inbursa shares have retreated 31 percent this year, compared with a 14 percent decline for the IPC.
CaixaBank is following Banco Santander SA and Banco Bilbao Vizcaya Argentaria SA in selling Latin American assets to replenish money lost amid Spain’s property crash.