Helbor Empreendimentos S.A

What it is

Helbor Empreendimentos develops and sells real estate in Brazil, with a portfolio spanning apartments, condominium houses, commercial buildings, urbanised lots and hotel units. It does not build: it designs, finances and manages projects, then hands construction to specialist partners — operating across 30 cities in 10 states and the Federal District, with over 270 projects totalling more than 9 million square metres and 42,000 units delivered.

Founded in Mogi das Cruzes, São Paulo, the company has been listed on B3’s Novo Mercado — the exchange’s highest governance tier — since October 2007. Its land bank holds an estimated BRL 12 billion (US$2.3 bn) in potential sales value, roughly 83% of it in São Paulo city, almost entirely aimed at mid- to high-end buyers.

Who owns it

The Borenstein family controls approximately 51% of Helbor’s capital, channelled through their holding vehicle. That holding company is Hélio Borenstein S.A. — Administração, Participações e Comércio, itself founded in 1961.

Insiders together hold about 50% of shares, with institutional investors accounting for roughly 18%, per EODHD data — leaving a free float of around 32%.

Who runs it

Henrique Borenstein — son of the founder — serves as Chairman of the Board of Directors and Vice-President of Helbor. The founder, Hélio Borenstein, was CEO from 1977 to 2013 and remains the patriarch behind the controlling holding.

The CFO and Chief Investor Relations Officer is Marcelo Lima Bonanata, a member of the executive board.

The money, in plain words

Helbor’s finances are honest but strained. Revenue fell from BRL 1.27 billion (US$248.2M) in FY2024 to BRL 1.13 billion (US$220.5M) in FY2025 — a drop of 11.2% (our calculation) — and net profit collapsed from BRL 56.5 million (US$11 mn) to BRL 11.3 million (US$2 mn) over the same period.

The net profit margin of 0.48% (TTM, EODHD) means the company keeps less than half a cent of profit on every real of sales, razor-thin for any business.

Return on equity of 2.87% — earning roughly 3 cents a year for every real shareholders have put in — trails Brazil’s risk-free rate by a wide margin, a warning sign for equity investors. The company carries BRL 1.75 billion (US$342.8M) in net debt against only BRL 110 million (US$21.5M) in cash (our calculation), a heavy load when Brazilian interest rates remain elevated.

The 7.3% dividend yield looks generous, but it reflects a depressed share price more than abundant cash generation.

What it is doing now

The biggest story in Helbor’s life right now is a proposed buyout. Sister company HBR Realty announced a public share offer (OPA) to acquire all of Helbor, with each Helbor share to be exchanged for 0.81553398 HBR shares, based on a 90-day weighted average price.

If approved, Helbor would leave the Novo Mercado and become a wholly-owned subsidiary of HBR, which would remain listed.

Helbor shares fell more than 20% on the day of the announcement, reflecting minority shareholder unease about the terms. Two-thirds of Helbor’s minority shareholders must approve the move — a meaningful hurdle that keeps the outcome open.

What to watch

• The OPA vote: minority shareholder approval requires a two-thirds majority; the Borenstein family’s 51% stake means they cannot carry it alone — the free float’s verdict decides the outcome.
• Margin recovery: a net margin below 1% leaves almost no buffer; watch whether new project launches in São Paulo’s mid-to-high segment convert into recognised revenue and fatter profits.
• Interest rates: the mid-to-high-end residential segment faces elevated Brazilian rates and moderate demand — a deteriorating macro environment would hurt Helbor disproportionately.
• Land bank monetisation: management has flagged a strategy to sell land parcels that sit outside the core business plan — BRL 12 billion (US$2.3 bn) in potential value, but only if buyers materialise.

This is news, not investment advice.