Brazil personal care firm MPM announces capital increase of up to $44 million

SAO PAULO (Reuters) – Brazilian private care providers supplier MPM Corporeos SA, popularly recognized for its Espacolaser depilation model, introduced late on Tuesday a brand new capital enhance to lift as much as 225 million reais ($43.92 million).

MPM stated in a securities submitting it should promote a most 117,187,500 new widespread shares for 1.92 actual every, which represents a 20% low cost over Tuesday’s closing worth of two.40 reais per share.

The transfer is geared toward strengthening the corporate’s capital construction, bettering its money place and reducing its monetary leverage, MPM stated.

Shares in MPM Corporeos are down roughly 71% to date this 12 months, which provides the corporate a present market capitalization of 597.14 million reais, in keeping with Refinitiv information.

Since its February 2021 preliminary public providing (IPO), which was priced at 17.90 reais per share and reached a complete 2.3 billion reais, MPM shares have dropped by 87%.

($1 = 5.1230 reais)

(Reporting by Gabriel Araujo; Modifying by Steven Grattan and Louise Heavens)