Brazil's Magazine Luiza raises offer to buy Netshoes to $93.18 million

[BENGALURU] Netshoes Ltd said on Sunday Brazilian retailer Magazine Luiza SA had raised its offer to buy the online shoe retailer to US$3 per share from US$2 per share in a deal that would value the company at about US$93.18 million.

Netshoes' board has approved the amendment and recommended that shareholders favor it, the company said in a statement.

The offer will be voted on at the shareholders assembly scheduled for May 30, Magazine Luiza said in a securities filing on Sunday evening.

Magazine Luiza decided to raise its offer after rival Brazilian retailer Grupo SBF SA, which controls sports goods retailer Centauro, offered US$2.80 per Netshoes share on Thursday.

Although Netshoes shares have risen with competition between bidders, they are far from reaching the US$18 price they were sold in the initial public offering two years ago.

REUTERS