Brazilian equity sales are poised to double this year as falling interest rates and optimism the global economy will rebound spur demand for shares, said Grupo BTG Pactual and Bank of America Corp. (BAC), the nation’s two top stock underwriters.
Companies may sell as much as $16 billion in shares in 2013, said BTG Pactual, which took the No. 1 spot last year from 2011’s leader, Banco Itau BBA SA. Equity sales in Brazil tumbled 32 percent in 2012 to a seven-year low of $8.21 billion, data compiled by Bloomberg show.
Enthusiasm for Brazilian shares may rise as Europe’s sovereign-debt crisis recedes and slowdowns in China and Brazil ease, said Fabio Nazari, head of equity capital markets and a partner at BTG Pactual. Brazil’s central bank cut benchmark borrowing costs 5.25 percentage points since August 2011, which may also make stocks a more attractive investment than bonds.
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