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Caixa Seguradora, the insurance subsidiary of state-owned bank Caixa Econômica Federal (CEF), said it raised BRL1.2 billion ($210 million) in a follow-on offering, the first in Brazil for six months. Caixa sold 82.4 million shares at BRL14.75 each, it said in a securities filing on Thursday. CEF also sold shares separately in a secondary offering. The transaction allowed Caixa Seguradora to increase the proportion of its shares trading on São Paulo’s B3 stock exchange to at least 20%, compared with 17.25% previously. The deal puts an end to a half-year drought for follow-ons in Brazil, where the equity market has been hurt by high interest rates. The central bank raised its benchmark lending rate to 14.25% on Wednesday up from 13.25% previously and from a recent low of 10.5% in September 2024. ADVERTISEMENT Itaú BBA coordinated the offering, while CEF, BTG Pactual, Bank of America and UBS were joint bookrunners. Caixa Seguradora was set up by CEF in 2015 and raised BRL5 billion in an initial public offering in 2021.
