trending Market Intelligence /marketintelligence/en/news-insights/trending/ozvbkerut25vrgs6vq9naq2 content esgSubNav
In This List

Brazil's Banco Original sees ownership rejig; Peru's La Positiva to sell stake

Podcast

Street Talk Episode 87

Blog

A New Dawn for European Bank M&A Top 5 Trends

Blog

Insight Weekly: US banks' loan growth; record share buybacks; utility M&A outlook

Blog

Banking Essentials Newsletter 2021: December Edition


Brazil's Banco Original sees ownership rejig; Peru's La Positiva to sell stake

* Control of Brazil's Banco Original SA has been transferred from scandal-hit J&F Investimentos S.A., run by Joesley and Wesley Batista, to their father José Batista Sobrinho, and elder brother José Batista Junior in an operation approved by the central bank at the end of last year, Valor Econômico reported. J&F now holds 49% of the bank.

* Shareholders in Peru's La Positiva Seguros y Reaseguros S.A. signed a deal with Portugal's Fidelidade - Companhia de Seguros SA, allowing the Portuguese firm to buy a 51% controlling stake in the Peruvian insurer, El Comercio reported. The agreement, which is still subject to regulatory approval, reflects Fidelidade's focus on international expansion, according to Fidelidade CEO Jorge Magalhães Correia.

MEXICO AND CENTRAL AMERICA

* French bank BNP Paribas SA appointed Francisco Hernandez Lozano as country head for Mexico, to lead the banking group's corporate and institutional banking activities in that country. BNP Paribas is launching a strategic plan for Latin America with "strong ambitions" in Mexico, which includes "expanding existing business lines, introducing new activities and the creation of a bank in Mexico," according to a statement.

* Mexico's insurance sector grew 2.9% in real terms in 2017, far below the AMIS industry association's forecast for 6.5% growth due to brisk inflation and a sluggish economic expansion, El Economista reported.

* Grupo Financiero Scotiabank Inverlat SA de C.V., the Mexican unit of Canada's Bank of Nova Scotia, reported net profit for the fourth quarter of 2017 of 2.83 billion Mexican pesos, more than twice the income posted during the same period a year earlier, El Economista reported. In an interview, General Director Enrique Zorrilla said the bank's credit portfolio should maintain double-digit growth rates this year as the bank will also launch a new online banking platform.

* Banco Panamá SA on March 8 plans to offer two tranches of revolving commercial bonds, one worth $1.0 million with a 3.25% interest rate and a six-month term, and another for $500,000 with a 3.75% interest rate and a one-year term. Proceeds from the offerings will be used for asset growth, working capital and debt restructuring, among other purposes.

BRAZIL

* Banco ABC Brasil SA on March 6 will offer for auction 8,782 preferred share subscription receipts, with a minimum price of 12.46 reais per receipt. The amount to be auctioned is equivalent to 0.26% of the preferred shares to be issued and 0.12% of the total offering, in accordance with a capital increase of about 87.4 million reais.

* Bankruptcy filings in Brazil declined 24.3% in February compared to the same month in the previous year, while falling 19.8% year over year, according to data from credit research firm Boa Vista SCPC. Meanwhile, applications for judicial recovery decreased 14.5% during the same 12-month period.

* Brazilian investment firm Tarpon Investimentos S.A. clarified in a statement that the company itself was not the target of a police raid on its headquarters as part of the probe on the alleged bribery of food safety inspectors at food manufacturer BRF SA and other companies. During the raid at the Tarpon headquarters, police searched for documents belonging to Pedro de Andrade Faria related to his term as CEO of BRF SA.

* BRB-Banco de Brasília SA's board of directors approved a payment of about 15.5 million reais as dividends for the second half of 2017, corresponding to 41.86 centavos per common share and 46.05 centavos per preferred share. Shareholders will be entitled to the dividends as of March 8.

ANDEAN

* Venezuela's opposition calculated economic contraction at 13.2% in 2017, based on oil industry figures and data on vehicle production, bank loans and taxes collected, Reuters reported.

* Sura Asset Management SA CEO Ignacio Calle said the company has a positive outlook for Chile and Colombia for 2018, specifically for domestic demand in the countries, Bloomberg News reported. Calle added that the company's wealth and asset management divisions should grow the most in 2018, and is planning to invest $50 million in both organic expansion and new technology, including artificial intelligence and robotics.

SOUTHERN CONE

* Outgoing Chilean President Michelle Bachelet said she will forward to Congress a constitutional reform proposal to replace the present one, in force since its dictatorship era. The proposed amendments will give more rights to workers, empower Chileans to challenge rights violations in court, and remove a supermajority requirement for the passage of some laws, among others. Bachelet will be replaced by President-Elect Sebastian Piñera on March 11.

* Chilean President Michelle Bachelet nominated the central bank's economic research manager Alberto Naudon as Sebastián Claro's replacement on the regulator's board of directors, La Tercera reported, citing Finance Minister Nicolás Eyzaguirre. His nomination must be ratified by the Senate.

* Banco del Estado de Chile is planning to issue up to $500 million in perpetual bonds as it seeks to boost its capitalization to meet Basel III requirements, CEO Jessica López told Pulso in an interview. She said investment banks had been contacted to advise them on the sale and that the paperwork was almost ready.

* The profits of Chilean insurance companies rose 26% in 2017 from a year earlier to 622.96 billion Chilean pesos, mainly due to strong growth in life insurance premiums, Diario Financiero reported, citing data from the country's financial market commission.

* Banco Central de la República Argentina sold $30.0 million in the spot market on March 5, Reuters reported.

* Argentina's credit card debt stock is shrinking as consumers opt to pay off their balances in one go or take out personal loans instead, El Cronista reported, citing research from FIRST Capital Markets SA. In February 2018, the stock of credit card debt in local currency decreased 2.94% from the previous month.

* New regulations restricting the use of cash for buying cars and property in Uruguay are due to come into force on April 1, El Observador reported. Under the rules, all payments exceeding 40,000 UI or Indexed Units, equivalent to about $5,000, must be made with electronic payment means or checks.

PAN LATIN AMERICA

* The U.N.-established Green Climate Fund has approved $350 million in climate financing for sustainable energy projects in Latin America, the entity's executive director, Howard Bamsey, said during a visit to Colombia, EFE reported.

IN OTHER PARTS OF THE WORLD

* Asia-Pacific: Indian central bank fines 2 lenders; Mega Financial posts FY'17 net income

* Middle East & Africa: Boursa Kuwait may launch IPO this year; Tunisia raises key rate

* Europe: UK fines, bans Deutsche Bank ex-trader; Bank of Ireland COO to leave

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.