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BoE's Ben Broadbent Tells CNBC: Bernanke's QE Remarks Were Not Surprising

UPDATE 1-Tycoon Slim's retailer Sanborns flops in market debut

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Published: Friday, 8 Feb 2013 | 10:35 AM ET
By: Michael O'Boyle

* Shares slip after pricing below expectations

* Offering raises around $930 million

* Mexican market pricey after record inflows

(Updates with share price reverse direction)

MEXICO CITY, Feb 8 (Reuters) - Shares of Carlos Slim's retailer Sanborns fell in their market debut on Friday in a sign that the Mexican tycoon may have been too ambitious in a local market trading at record highs.

Sanborns shares on the Mexican exchange were down 0.7 percent at 27.80 pesos ($2.18) each in early trade after initially rising as much as 3.6 percent from the 28 peso-per-share offer price issued late on Thursday.

"This is not a good omen," said Gerardo Roman, head of trading at brokerage Actinver in Mexico City. "A lot of people are already looking to sell."

The price was at the lower end of the expectations. The prospectus had a range of 27 to 32 pesos per share.

Mexican retailers are trading at very high valuations on record inflows into local stocks.

Sanborns said in a stock exchange filing late on Thursday that it expected to raise up to 11.8 billion pesos ($927.40 million), including a greenshoe overallotment. The offering aimed to place about an 18 percent stake of the retailer.

Slim, ranked by Forbes as the world's richest man, controls a business empire that includes Latin America's biggest telecommunications company, America Movil, as well as banking, construction, real estate and mining companies.

Sanborns de-listed in 2007 after being incorporated into Slim's conglomerate Grupo Carso. ($1 = 12.7237 Mexican pesos)

(Reporting by Michael O'Boyle; Editing by Simon Gardner and Steve Orlofsky)

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MEXICO CITY, Feb 8- Shares of Carlos Slim's retailer Sanborns fell in their market debut on Friday in a sign that the Mexican tycoon may have been too ambitious in a local market trading at record highs.

   
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