Marisa Retailer Boosts Private Capital with R$550m Investment

16 May, 2024

Marisa Retailer Boosts Private Capital with R$550m Investment

The Goldfarb family, controlling shareholders of Marisa, are anticipated to inject funds into the retailer. Facing financial challenges, Marisa plans a private capital increase of about R$550 million to stabilize its financial standing. This move comes as the company opts out of a follow-on offer, instead engaging banks for the transaction. Sources suggest the capital infusion will likely be facilitated by the Goldfarb family, with a portion allocated to clearing promissory notes, aiding working capital. The market’s volatility has hindered share offerings, compounded by auditor opinions on financial statements. Marisa, seeking a capital boost, has scheduled a June general meeting for approval. Earlier attempts to explore subsequent public offerings yielded little demand, prompting a shift in strategy. Despite ongoing reorganization efforts to trim expenses and enhance cash flow, Marisa faces credit challenges. The company aims to bolster sales and operational efficiency but acknowledges lingering issues. However, its operational and capital targets for 2023 remain unmet. Auditors flagged concerns over operational continuity and financial reporting, citing potential losses and liquidity risks. Marisa awaits Central Bank approval for subsidiary operations, navigating regulatory hurdles amid financial restructuring.