* PagSeguro Digital Ltd. announced the launch of a follow-on public offering in which Universo Online SA will look to sell 16,750,000 PagSeguro class A common shares. The selling shareholder has granted the underwriters a 30-day option to purchase up to 2,512,500 additional common shares. PagSeguro said separately that it expects third-quarter net income to be between 330 million Brazilian reais and 340 million reais, which would represent year-over-year growth of between 42.5% and 46.8%.
* Chile's Banco Security SA named Eduardo Olivares Veloso to replace Bonifacio Bilbao Hormaeche as CEO, effective March 6, 2020, La Tercera reported. Bilbao Hormaeche is resigning after 31 years with Grupo Security SA.
MEXICO AND CENTRAL AMERICA
* State-owned Banco de Costa Rica has been on track to meet the government's 52% operational efficiency target in 2022, CFO Rossy Durán told El Financiero in an interview. Durán also said the bank's merger with Bancrédito has helped diversify revenue sources. Meanwhile, Banco Nacional de Costa Rica General Manager Gustavo Vargas said it would be difficult for the bank he leads to meet the target.
* The seven banks facing a probe by Mexican antitrust regulator Cofece over suspected efforts to manipulate government bond prices are BBVA, Santander, Citibanamex, JPMorgan, Bank of America, Barclays and Deutsche Bank, according to a column run by Mexican daily El Financiero. Cofece said in October that it would try the case and could levy fines of up to 10% of a company's annual Mexican revenue if the body finds it guilty of bond market manipulation. Banco Santander México SA issued a statement denying its involvement in monopolistic practices.
* Banco BTG Pactual SA has reached an agreement to be the only distributor of T. Rowe Price-managed funds to investors in Latin America, Reuters reported.
* Advisers for Brazilian construction and engineering conglomerate Odebrecht SA will look to postpone a creditor vote on the company's bankruptcy plan, Reuters reported, citing two people with knowledge of the matter. Creditors voiced opposition to the plan earlier in October with one of them, state-owned bank Caixa Econômica Federal, asking for the scandal-hit company's liquidation.
* Google has introduced debit card payment functionality in Brazil through its Google Pay digital wallet platform, Reuters reported. Joao Felix, who manages Google Pay in Latin America, said the company is expanding its reach in Brazil as the country has 60 million debit card holders, compared to only 50 million credit card holders.
* The Brazilian central bank said its IBC-Br economic activity index, a key indicator of GDP, increased 0.07% monthly in August, Reuters reported.
* Banco do Brasil SA is set to price its secondary share offering on Oct. 17, Valor Econômico reported. Meanwhile, Banco BMG SA had started presentations to international investors ahead of its planned initial public offering following strong interest from Brazilian investors.
* Chilean Foreign Minister Teodoro Ribera said "stricter" measures are needed to force Venezuelan President Nicolás Maduro to call free elections, the Financial Times reported. Ribera said Chile and its allies will block Venezuela's communications and pursue a naval blockade if Maduro does not hold a free vote.
* Venezuelan President Nicolas Maduro raised the country's minimum monthly wage for the third time in 2019, increasing it by 275% to 150,000 bolivares from 40,000 bolivares, Bloomberg News reported. Annual inflation in the crisis-hit country currently stands at 50,100%, according to data from the opposition-controlled National Assembly.
* Peru's Finance Ministry is moving forward with plans to launch the country's first sovereign debt exchange-traded fund, an initiative that would boost liquidity in the local stock market and make it easier for non-institutional investors to buy and sell Peruvian government debt, SEMANAeconómica reported. It said the new product is still under development, with no date set yet for its launch.
* Banco Santander Chile sold an 11% stake in payment processing company Sociedad Operadora de Tarjetas de Crédito Nexus SA to Banco de Chile, Banco del Estado de Chile and Banco de Credito e Inversiones SA. Itaú Unibanco Holding SA will buy Santander Chile's remaining 1.9% stake in Nexus, subject to approval from Brazil's central bank.
* Banco Bilbao Vizcaya Argentaria SA confirmed that it will not sell Chilean automobile financing unit FORUM Servicios Financieros SA for the time being. Retaining ownership of FORUM "is the alternative that generates the highest value for our shareholders," the Spanish bank said.
* Argentina's Banco Macro SA has completed its merger with Banco del Tucumán SA following the 2018 sale of a remaining minority stake in the provincial bank held by the Tucumán provincial government, El Cronista reported. Banco Macro had already invested 280 million Argentine pesos for infrastructure and staff training, and from this week, Banco de Tucumán branches will carry the Banco Macro brand.
* Following Credicorp Ltd.'s $19 million purchase earlier this year of the digital business unit of Chile's Multicaja SA, the unit, which was renamed Multicaja PayPal, is now part of Credicorp's Tenpo company and will be called Tenpo PayPal, Diario Financiero reported, citing an email sent to clients.
PAN LATIN AMERICA
* Countries in Latin America and the Caribbean will continue to see ratings pressures due to the region's weaker growth outlook, according to Fitch Ratings. "Negative spill-overs from Argentina's deepening crisis and country-specific political and reform uncertainties also weigh on domestic confidence and activity in neighboring countries," the rating agency said.
IN OTHER PARTS OF THE WORLD
* Asia-Pacific: HK regulator slashes bank buffers; ASIC to clamp down on financial products
* Middle East & Africa: Mashreqbank gets new chairman, CEO; Absa's CIB unit eyes China office
* Europe: Dutch banks need €3B; Woodford fund shut down; Italy may cut bank loss tax help
Helen Popper contributed to this article.
The Daily Dose has an editorial deadline of 8:00 a.m. São Paulo time, and scans news sources published in English, Portuguese and Spanish. Some external links may require a subscription. Links are current as of publication time, and we are not responsible if those links are unavailable later.