By Stuart Condie


SYDNEY--Carsales.com Ltd. launched a 500 million Australian-dollar (US$329 million) equity raise to fund the purchase of a further 40% stake in Brazil's Webmotors S.A. vehicle marketplace.

The Australian vehicle advertiser on Wednesday said that it had agreed to pay 1.24 billion Brazilian reals (US$240 million) to Banco Santander (Brasil) S/A for the stake. Carsales will own 70% of Webmotors upon completion, with Santander holding the remaining 30%.

Carsales said that the remaining funds from the fully underwritten 1-for-14.01 pro-rata accelerated renounceable entitlement offer will strengthen its balance sheet and increase its capacity for further growth opportunities.

Carsales expects the acquisition to close in the June quarter.


Write to Stuart Condie at stuart.condie@wsj.com


(END) Dow Jones Newswires

03-07-23 1718ET