Banco BTG Pactual SA expects share sales to go up in the second half of 2010 as soon as the offer from Petroleo Brasiliero SA is concluded. Petroleo Brasiliero SA made an offering of $25 billion for the purchase of Banco BTG Pactual SA. Banco BTG is Brazil’s largest equity underwriter. According to the bank, overseas demand for emerging market stocks is on the rise and investors are keen on purchasing stocks that are related to Brazil’s economic growth.

Brazil’s economy is predicted to grow by 7.1% in 2010. The growth rate represents the fastest in 24 years, according to a survey carried out by Brazil’s Central bank. Petrobras, the country’s state owned oil producer wants to raise $25 billion in September and the move will push over other potential shares in the country.

Brazil is Latin America’s largest equity market. Resultantly, the Petrobras offer is so big such that other firms are sitting out their IPOs, said the bank. BTG said its interest is in IPOs in retail, consumer and infrastructure as these industries will likely benefit the most from credit expansion and growth, reiterated the bank. BTG was acquired in 2009 from UBS AG for an investment worth $2.5 billion by billionaire, Esteves.

Thus far, BTG has overseen the launch of six successful initial public offerings estimated at about $958 million. The company as well managed four secondary offerings that have placed its cumulative volume of equity deals to $2.73 billion. That marks about 52% over JP Morgan’s volume pegged at $1.79 billion in its four share sales.

Currently, BTG is considered as one of the top three banks in Brazil advising on mergers and acquisitions. From Bloomberg’s data compilation, Brazilian firms had equity sales worth $15.2 billion. Petrobras or Petróleo Brasileiro S.A., is a semi-public Brazilian multinational energy company headquartered in Rio de Janeiro. Petrobras is the world's fourth largest energy company and the largest company in Latin America by market capitalization and revenue, and the largest company headquartered in the Southern Hemisphere.

BTG Pactual is a Brazilian investment bank that resulted from the takeover of UBS Pactual by BTG in 2009. BTG Pactual is the largest independent investment bank in Latin America, with extensive experience in emerging markets, has offices in New York, London and Hong Kong and is headquartered in Brazil. The bank operates in the areas of investment, asset management and wealth management.

18 Aug 2010.