Brazilian steelmaker CSN hires banks for IPO of mining unit: report

Brazilian steelmaker Companhia Siderurgica Nacional (CSNA3.SA) has hired banks to manage the initial public offering of its mining unit, CSN Mineracao, newspaper Valor Economico reported on Tuesday.

Bank of America, XP Inc, Banco BTG Pactual SA and Morgan Stanley will manage an offering that may raise 10 billion reais ($1.81 billion), the report said, citing anonymous sources.

Since the beginning of this year, CSN’s executives have been saying they planned to revive the IPO of CSN Mineracao, which includes the iron ore mine Casa de Pedra.

In a securities filing late on Tuesday, the company repeated that it was considering an IPO of the unit, without offering further details.

Shares in CSN closed the trading day up 1.99% at 14.84 reais, after starting the day down 2.2%.