PagSeguro Digital Ltd. announced the launch of a follow-on public offering in which parent company Universo Online S/A will look to sell 16,750,000 class A common shares it holds in the Brazilian financial technology firm.
Universo Online has granted underwriters a 30-day option to purchase up to 2,512,500 additional shares.
Immediately following the offering, PagSeguro will have 328,828,656 common shares, including treasury shares, issued and outstanding. Of the total amount, 179,957,795 shares will be class A common shares owned by investors other than Universo Online, assuming that the underwriters do not exercise their option to purchase more shares.
In 2018, Universo Online sold 21,450,000 class A common shares of PagSeguro in a follow-on offering that was priced at $29.25 per share. PagSeguro's class A common shares are listed on the New York Stock Exchange under the symbol PAGS.
Goldman Sachs & Co. LLC and Morgan Stanley & Co. LLC will serve as global coordinators in the new offering.
Separately, PagSeguro said it expects its third-quarter net income to total between 330 million reais and 340 million reais, which would represent an increase of between 42.5% and 46.8% from the year-ago period. Total payment volume for the three months through September is expected to reach about 29.4 billion reais, up 44.8% from a year earlier.
The company will report final results for the quarter on Nov. 13.
As of Oct. 14, US$1 was equivalent to 4.13 Brazilian reais.