Brazil gas company Compass files for initial public offer

SAO PAULO, Aug 3 (Reuters) - Brazilian gas and energy company Compass on Monday filed for an initial public offering, according to a securities filing.

The company, which is fully controlled by Cosan SA CSAN3.SA, said it plans to raise capital to acquire companies and participate in privatization deals, besides strengthening cash.

Compass is Brazil's largest natural gas distributor, with 2 million clients and 18,000 km of gas network. It posted revenue of 4 billion reais and net income of 508.5 million reais in the first half of the year, according to the filing.

It did not yet disclose the number of shares or amount of money it plans to raise in the IPO.

Cosan is reorganizing in a long-awaited move to simplify its corporate structure, and plans to list some of its subsidiaries.

Investment banking units of Itau Unibanco, Santander Brasil, Morgan Stanley, BTG Pactual, Bradesco, Citigroup, Banco do Brasil, UBS, Safra and XP will manage the offering.

(Reporting by Carolina Mandl in Sao Paulo Editing by Matthew Lewis)

((; +55 11 5644 7703; +55 11 97116-3806;))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


More Related Articles

Sign up for Smart Investing to get the latest news, strategies and tips to help you invest smarter.