Brazilian Homebuilder IPO: Gafisa SA (GFA)

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By Douglas A. McIntyre Updated Published
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Gafisa SA, a Brazilian homebuilder, has filed for an IPO in the United States.  Since it already trades on the Sao Paulo Stock Exchnage in Brazil, this isn’t exactly a 100% true IPO.  The company listed up to $774.31 million in securities for filing purposes.

It plans to trade on the NYSE under ticker symbol "GFA/ADR" and the lead underwriters were listed as Merrill Lynch, Banco Itau BBA and Citigroup. The company has key shareholders GP Investimentos and Equity International Properties.

The issue that IPO traders are going to potentially have even though this is within the BRIC (Brazil, Russia, India, China) model, the stock is still a homebuilder.  Brazil is a different market than the US and that isn’t arguable, but with the implosion of sub-prime mortgages falling out into the rest of homebuilder sector.  The timing on this one is a bit off and the fact that it has already been trading will usually take away any instant-IPO price jumps.

More can be found on their website at www.gafisa.com.br, Jon C. Ogg, February 23, 2007

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About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

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