Bloomberg reports that Brazilian telecoms operator Oi SA has successfully raised more than the BRL7 billion (USD3.12 billion) it needed to continue its planned merger with Portuguese counterpart Portugal Telecom (PT). Citing two people familiar with the deal who asked not to be identified because the terms are not yet public, the news agency says that demand for Oi SA shares could result in a price of BRL2 per share; the price is expected to be confirmed later today (28 April). Oi SA has released filings suggesting it plans to sell as many as 5.75 billion shares, with the possibility of an additional offering of 20% and an overallotment of 15%. BTG Pactual and 13 other banks are involved in the transaction which is looking to generate BRL8 billion to help inject capital into the company and pay off BRL4.5 billion of debt which is owed to its controlling shareholder, Telemar Participacoes. In total, banks expect to raise around BRL14.1 billion, including BRL5.75 billion in assets contributed by PT.
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