Brazil's Oi prices share offering at bottom of suggested range
NEW YORK/SAO PAULO, April 28 (IFR/Reuters) - Grupo Oi SA, Brazil's largest fixed-line telephone carrier, priced an offering of preferred shares at 2 reais each, at the bottom of the indicative range set by bankers, sources said on Monday.
The company, which sold new stock to help finance its planned merger with Portugal Telecom SGPS SA, had a suggested range of 2 reais to 2.30 reais for the preferred shares. Common shares were priced at 2.17 reais, or at a premium of more than 8 percent to the preferred stock, said the sources, who declined to be identified because the transaction is in the works.
The sources said earlier on Monday that the transaction could fetch at least 8 billion reais ($3.6 billion) from investment firms and retail investors. About 85 percent of the investors who participated in the deal were based outside of Brazil, one of the sources noted.
($1 = 2.23 Brazilian reais) (Reporting by Joan Magee and Guillermo Parra-Bernal; Editing by David Gregorio)