UPDATE 1-Brazil's Multiplus $392.6 mln IPO below estimate

* Multiplus raises 723.9 million reais in IPO

* IPO priced below price range of 18-24 reais

* Multiplus stock debuts in Sao Paulo on Friday

SAO PAULO, Feb 3 (Reuters) - Multiplus SA, which manages the mileage program for Brazil's largest airline TAM Linhas Aereas (TAMM4.SA)(TAM.N), raised 723.9 million reais ($392.6 million) in an initial public offering on Wednesday, less than expected.

The company sold 45.24 million shares in a primary offering at 16 reais each, below the offering range of 18 reais to 24 reais. Multiplus (MPLU3.SA) will start trading on Friday.

Multiplus, launched in June after expanding TAM's frequent-flier program to include retailers, hotels and other types of services, plans to use most of the proceeds to buy tickets issued by TAM to give out as awards for its clients.

The company hired BTG Pactual, the investment bank founded by billionaire Andre Esteves, as lead underwriter for the offering. Credit Suisse (CSGN.VX) also helped manage the IPO. ($1=1.844 reais) (Reporting by Elzio Barreto. Editing by Robert MacMillan)