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SAO PAULO, Jan 27 (Reuters) - Brazilian power company Equatorial Energia SA announced late on Wednesday a follow-on share offering of up to 87.7 million common shares as it looks to raise money to pay for the acquisition of renewable energy firm Echoenergia.
Equatorial said in a securities filing that the amount of the initial offering could be increased by up to 35%, or 30.7 million shares, if the company and the offering managers decide so.
Considering the closing price of 22.16 reais per share in Equatorial on Wednesday, a share sale would total 1.94 billion reais ($357.1 million), Equatorial said. If the additional shares are considered, that figure would go up to 2.62 billion reais.
The final price will be set on Feb. 8.
Investment banks Citigroup, Credit Suisse, UBS BB, XP Investimentos and Goldman Sachs will manage the offering.
Equatorial announced the acquisition of Echoenergia in October, saying it would pay around 6.66 billion reais for the company, whose controlling shareholder was British private equity fund Actis. ($1 = 5.4324 reais) (Reporting by Gabriel Araujo)