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Banco do Brasil share offering expected in October; SoftBank in Brazil

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Banco do Brasil share offering expected in October; SoftBank in Brazil

* A follow-on offering of Banco do Brasil SA shares could be launched Oct. 3 and priced by Oct. 17, Valor Econômico reported, citing unnamed sources. The offering is expected to involve the sale of shares held by the bank itself, by Brazil's federal government and by the FI-FGTS fund, although the government will not relinquish its control of the bank.

* Japan's SoftBank Group Corp. plans to announce a big investment in Brazil in roughly two weeks as it mulls bringing about 40 companies to Latin America's largest economy, Reuters reported, citing André Maciel, SoftBank's head in Brazil. He said SoftBank sees opportunities in Brazil's health, logistics, transportation and agribusiness sectors, among others.

MEXICO AND CENTRAL AMERICA

* Hurricane Lorena faded into a tropical storm Sept. 21 as it made its way toward northwestern Mexico, Reuters reported, citing the U.S. National Hurricane Center.

* Panamanian President Laurentino Cortizo Cohen signed a law to expand a program of preferential interest rates on mortgages, El Capital Financiero reported. The law aims to boost the country's economy, especially the construction, real estate and housing sectors.

BRAZIL

* José Tostes Neto will replace Marcos Cintra as special secretary to Brazil's federal revenue service, the government said. Cintra was dismissed earlier in September, reportedly due to differences over his proposal to reintroduce a financial transaction tax.

* France's BNP Paribas SA has invested 85 million reais in Brazilian asset manager Persevera, Valor Econômico reported. BNP did not acquire a stake in Persevera, but it will benefit from a revenue-sharing agreement with the company.

* Brazil's central bank ordered the liquidation of Rio de Janeiro-based brokerage firm UM Investimentos SA Corretora de Títulos e Valores Mobiliários, citing "serious violations" of regulations and "losses that subject its creditors to abnormal risk," Valor Econômico reported.

ANDEAN

* The number of virtual banking transactions in Peru increased 53% in the first half to 2019 to 148 million, Gestión reported, citing regulatory data.

* Banco de Bogotá SA plans to invest 20.00 billion Colombian pesos to upgrade its headquarters in Bogotá and an additional 100.00 billion pesos for the digital transformation of 75 branches, El Tiempo reported, citing Julio Rojas Sarmiento, vice president of finance.

SOUTHERN CONE

* An Argentine judge ordered a bribery case involving former President Cristina Fernandez de Kirchner to proceed to trial, although Congress is not expected to strip Fernandez, a sitting senator, of her immunity from arrest, Reuters reported. Fernandez, who has denied multiple allegations of corruption, is running for vice president in general elections set for Oct. 27.

* Argentine Finance Minister Hernán Lacunza and central bank chief Guido Sandleris are due to meet with International Monetary Fund representatives on Sept. 24 in an effort to unlock the IMF's next $5.4 billion loan disbursement for the crisis-hit country, Clarín reported. According to earlier reports, the IMF is looking to delay the disbursement until it has a clearer picture of Argentina's political future.

* Argentina's government has started ordering police raids on exchange houses to crack down on U.S. dollar sales in the black market, El Cronista reported. This is reportedly the first time authorities have conducted such raids under the current Macri administration.

* Prices for over the counter Argentine government bonds increased 0.7% on average Sept. 20 after President Mauricio Macri's administration sent a debt renegotiation bill that includes collective action clauses to Congress, Reuters reported. The peso currency ended the day down 0.16% and closed the week 0.92% weaker.

PAN LATIN AMERICA

* Banks' lending and borrowing activity with non-bank financial institutions, such as investment funds and hedge funds, has risen sharply, the Bank for International Settlements said in a quarterly review. Banks' cross-border claims on non-bank financial institutions increased to 35% of their total claims at the end of March, up from 30% a year ago. This equates to a rise to $6.6 trillion from $4.8 trillion.

IN OTHER PARTS OF THE WORLD

* Middle East & Africa: Investec warns of lower fiscal H1 profit; US sanctions Iran's central bank

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.