Cosan’s Moove Aims for Lucrative NYSE Debut, Eyeing $1.9 Billion Valuation

Cosan Group has set the stage for a significant financial move by planning to list its lubricants subsidiary, Moove, on the New York Stock Exchange.

Moove, which produces the Mobil brand in Brazil, could debut with a valuation of up to $1.945 billion.

This subsidiary specializes in automotive and industrial lubricants. Cosan, owning 70% of Moove, will sell a portion of its shares during the initial public offering.

The target price range for Moove’s shares sits between $14.50 and $17.50. At the upper end of this range, Cosan stands to gain approximately $164 million from the sale.

After the IPO, Cosan will maintain control of Moove with a stake between 57.6% and 60.4%.

CVC Capital Partners, Moove’s other major shareholder, will also sell shares during the offering. The IPO could raise up to $503 million in total.

Moove plans to use the majority of the funds to finance its recent acquisition of Grupo Pax Lubrificantes.

This purchase, completed on September 29, cost Moove $410 million. The company also aims to raise $109 million in fresh capital through new share issuance.

Founded in 2008, Moove originated from Cosan’s purchase of ExxonMobil’s lubricant assets in Brazil.

Since then, the company has expanded globally. Moove now operates six production units across Brazil, the United States, and the United Kingdom.

In the first half of this year, Moove reported a net revenue of $930 million. The company’s EBITDA reached $127.8 million, while net profit stood at $44 million.

These figures represent a strong financial position as Moove prepares for its NYSE debut. This IPO marks the first Brazilian company to go public in nearly three years.

However, the offering targets only foreign investors as it takes place on the NYSE rather than Brazil’s B3 exchange.

More: Brazil news in English, every day from The Rio Times.

This article was produced by The Rio Times’ automated newsroom system. How we use AI · Report an error

LatAm Markets: Live Signals → — real-time movers, turnover leaders and FX across Latin America.