Warburg Pincus to launch tender offer for Brazil’s Alper

(Reuters) – U.S.-based private equity firm Warburg Pincus intends to launch a tender offer to acquire control of Brazilian insurance group Alper at a 19.2% premium over its Tuesday closing price, the Brazilian company said on Wednesday.

WP Itacare, a holding firm that is part of Warburg Pincus’ portfolio, told Alper it intends to pay 43.50 reais per share to buy up to 19.5 million common shares of the firm, valuing it at 850 million reais ($173.93 million).

Shares of Alper jumped nearly 11% to 40.50 reais apiece on the news, following a 6.7% rise the day before.

Large Alper shareholders include Patria Investments and asset manager Brasil Capital.

($1 = 4.8870 reais)

(Reporting by Paula Arend Laier and Gabriel Araujo)