trending Market Intelligence /marketintelligence/en/news-insights/trending/JOAa4N-1__StJyIbi_KOIA2 content esgSubNav
In This List

Deal grapevine; restructuring

Blog

Banking Essentials Newsletter: October Edition

Blog

Banking Essentials Newsletter: September Edition, Part - 2

Video

S&P Capital IQ Pro | Unrivaled Sector Coverage

Video

S&P Capital IQ Pro | Powering Your Edge


Deal grapevine; restructuring

S&P Global Market Intelligence presents the week's latest news and trends in Latin American banking.

Deal grapevine

* Banking regulator Superintendencia de Bancos de Panamá authorized the transfer of 100% of the shares of Balboa Bank & Trust Corp. to Costa Rica-based Corporación BCT SA.

* Argentina's ministry of commerce approved Banco Santander Río SA's acquisition of Citibank NA Sucursal establecida en la República Argentina.

* Peru's banking and insurance regulator approved Intercorp Financial Services Inc.'s pending acquisition of two of Sura Asset Management SA's Peruvian subsidiaries.

* The government of the Brazilian state of Rio Grande do Sul expects to complete in December a potential public offering in which it may sell a part of its stake in Banco do Estado do Rio Grande do Sul SA.

* Spain's Banco Santander SA reportedly resumed talks with Banco de Credito e Inversiones SA over the sale of Miami-based TotalBank.

* Goldman Sachs was chosen to administer the sale of electronic payments company Prisma Medios de Pago SA, which is owned by Visa International and 14 Argentine banks, after the Argentine government approved its divestment plan. Brazilian card payment firm Cielo S.A., whose main shareholders are banking giants Banco do Brasil SA and Banco Bradesco SA, is among the companies reportedly interested in buying Prisma.

Restructuring

* Banco do Brasil plans to close its retail branches in most of the 19 foreign markets where it operates, except in Miami and Japan.

* Itaú CorpBanca unit Itaú Corpbanca Recaudaciones y Cobranzas SA absorbed another debt collection subsidiary, Recuperadora de Créditos Ltda., as part of the 2016 merger that resulted in the creation of the parent company.

* The Supreme Court of Jamaica approved Scotia Investments Jamaica Ltd.'s plan to go private.

In other news

* Bradesco paid 200.5 million Brazilian reais to manage the payroll of 123,000 civil servants in the Brazilian state of Paraíba.

* Separately, Bradesco said the U.S. District Court for the Southern District of New York partially upheld a petition for the termination of a class suit filed by investors who considered themselves harmed after the disclosure of charges against the bank under the Operation Zelotes tax corruption scandal.

* Banco do Brasil will shoulder security-related expenses of Banco Postal for four months to ensure the latter's operation in 1,827 post offices across Brazil.

* BTG Pactual Group paid 211 million Brazilian reais to purchase bad debts from the failed Brazilian bank Banco BVA S.A.

* Banco Santander Chile reached an agreement with most of its labor unions on the minimum level of services the bank will maintain in the event of an employee strike.

Featured this week on S&P Global Market Intelligence

* Banxico to join LatAm central banks in cutting rates as region slowly recovers: Most central banks in Latin America's biggest economies have eased benchmark interest rates in 2017 and are expected to stay on that path as the region gradually recovers from the economic slowdown.

* Debt, political risks continue to weigh on many LatAm sovereign ratings: Negative outlooks by rating agencies on Latin American sovereigns continued to outnumber positive ones in the third quarter as economic growth remained weak and debt concerns and political risks continued to affect the region.

* LatAm sovereign CDS spreads spike in September following Q3 decline: Sovereign credit default swap prices in Latin America generally continued to trend lower in the third quarter and in the year-to-date, but spiked in September amid heightened global risk aversion.

* LatAm bank indexes maintain momentum in Q3 as Brazil recovers: Latin American bank indexes continued to collectively show solid gains in the third quarter of 2017, with Brazil rallying after a dismal performance in the previous quarter.

* Best of the Web: Venezuela's upcoming bond payments have investors on edge; Argentine banks look to get more value out of cashiers; and the performance of right-wing governments in Latin America leaves much to be desired.

* Hires and Fires: A weekly rundown of executive management, board and other personnel moves at Latin American financial institutions.

* Ratings Roundup: A summary of various ratings actions on Latin American financial institutions and economies.