Brazil's Nubank slashes IPO valuation to over $40 bln

Reuters2021-11-30

Nov 30 (Reuters) - Nubank on Tuesday cut the expected price range of its U.S. initial public offering, reducing the Brazilian online lender's targeted valuation by nearly $10 billion to up to $41.5 billion.

In an amended filing with the U.S. Securities and Exchange Commission, the Sao Paulo-based company said it would now be looking to sell about 289.2 million shares priced between $8 and $9 each. It would raise $2.6 billion at the top end of the range.

Nubank had earlier planned to raise nearly $3 billion at a valuation of over $50 billion by selling shares at between $10 and $11 each.

The IPO market in the United States has been strong this year, but the detection of a possibly vaccine-resistant variant of the coronavirus sparked a broad selloff on Friday.

Markets have since eased as investors await more details on the variant, Omicron.

Morgan Stanley, Goldman Sachs, Citigroup and NuInvest are the lead underwriters for Nubank's offering.

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