Brazil Exchange Takeover Seen Requiring Higher Offer Price

BM&FBovespa SA, the operator of Brazil’s stock and derivatives exchange, may have to spend more than the 10 billion reais ($2.7 billion) it offered to take over fixed-income clearing house Cetip SA, according to analysts from Bradesco BBI and Credit Suisse Group AG.

The exchange operator said late Friday that it had offered 39 reais in cash and stock for each Cetip share, 2.1 percent above the stock’s closing price last week. The relatively low premium may prompt shareholders to demand a higher price from BM&FBovespa or to seek out new offers, according to Rafael Frade, an analyst at Bradesco BBI. International Exchange Inc., which already holds a 12 percent stake in Cetip, could make a competing bid to secure its foothold in Brazil’s capital markets, he said.