Investors have signaled interest in scooping up more than 30 billion reais ($5.3 billion) worth of shares in Brazilian water utility Sabesp — far more than what’s available for sale — in what’s expected to be the largest Latin America equity offering this year, according to people familiar with the matter.

Money managers are poised to snap up, collectively, a 17% interest in Cia de Saneamento Basico do Estado de Sao Paulo, as the firm is formally known, and have already started submitting bids as they vie for a roughly 8 billion-real stake in the company, said the people, asking not to be named discussing private talks.