The credit card network services provider Companhia Brasileira de Meios de Pagamento, or Visanet, will postpone its plan to hold an initial public offering on the Sao Paulo Stock Exchange, a source close to the operation said Wednesday.
"It is a prudential decision. At this moment, market conditions are adverse for a shares offer," said the source, who declined to be named.
Visanet, which unveiled its IPO plans in September, is 40% controlled by Banco Bardesco and 32% by the state-run Banco do Brasil SA. ABN Amro's Brazilian subsidiary holds 14%, Visa Inc. has 10%, and other investors have 4%.
If successful, the Visanet IPO could turn out to be one of the largest share offers of its kind in Brazil, rivaling that of Redecard SA last year.
In July 2007, Redecard and its controlling shareholders raised $2.44 billion in an IPO. Redecard is jointly controlled by Citigroup Inc. and the Brazilian banks Banco Itau and Unibanco.