lunes 5 de mayo de 2014 12:24

RIO DE JANEIRO

No IPO has been filed with Brazil’s securities industry watchdog CVM so far this year, something unheard of since at least 2004, according to Thomson Reuters data. Prospects are so gloomy that many deals suspended last year due to souring market conditions are unlikely to materialize in coming months.

BM&FBovespa CEO Edemir Pinto, speaking to Reuters on the sidelines of an event in Rio de Janeiro, said the slowing pace of Brazil’s economic expansion and political uncertainty, especially related to implementation of fiscal policy, may keep weighing on performance of the nation’s local equity markets.

A truncated capital markets calendar, rising political risks and the emergence of attractive investments elsewhere mean investment bankers, who had thrived for years with easy-to-sell IPOs in Brazil, are now struggling to push through deals.