Source: Renaissance Capital, Greenwich, Conn.; CP staff
Global initial public offering investment adviser Renaissance reports that poor market conditions have compelled Brazil’s Votorantim Industrial S.A. to withdraw an offering of shares in its largest business, Votorantim Cimentos S.A., earmarked for São Paulo Stock Exchange and New York Stock Exchange trading.
In an April 2013 preliminary prospectus filed with the U.S. Securities and Exchange Commission, Votorantim Industrial outlined an IPO—valued at up to $5.4 billion—for its multinational cement and concrete business, which reported 2012 sales of $4.6 billion. The conglomerate would have maintained a majority stake in Votorantim Cimentos, whose portfolio across the Americas, Africa, Asia and Europe spans 34 cement and 22 clinker grinding mills; 328 ready mixed and 13 mortar plants; plus, 84 aggregate and 61 limestone operations. Operating under the St Marys, Prairie Material and Prestige brands in Great Lakes and Florida markets, Toronto-based subsidiary Votorantim Cement North America accounts for nearly 20 percent of the parent company’s business.