Mexican Homebuilder Javer Sees No Rush for IPO After Sale DelayBen Bain
Servicios Corporativos Javer SAPI, Mexico’s biggest builder of homes with government-backed mortgages, is in no hurry to sell shares after delaying an offering planned for this week, Chief Financial Officer Felipe Loera said.
“The company doesn’t have any rush,” Loera said today in a telephone interview from Monterrey. “We don’t have a target date.”
Javer had said in a March filing that it aimed to carry out an initial public offering during the week that started on Monday. The IPO would raise as much as 3.5 billion pesos ($226 million), with at least part of the proceeds destined to pay debt.
The Monterrey-based company decided to wait partly because the proximity of the date to Holy Week meant fewer investors were around, Loera said. The delay also will allow Javer to incorporate first-quarter results in its offering documents, he said. While sales increased 14 percent from a year earlier, Javer had a net loss of 99.3 million pesos because of weakness in the Mexican currency, which increased the cost of dollar-denominated debt.
Company officials plan to “sit down again with the team from the banks that we’re working with and define the new timetable with these first quarter figures,” Loera said. Javer would be the first Mexican homebuilder to go public since the industry’s three biggest companies collapsed in 2013.