• Categories
  • Archives

Brazil’s Bradesco Buys Mexican Bank and Has Plans for Mexico

A Bradesco bank branch in BrazilBradesco, Brazil’s second largest private bank, announced Friday that it plans to enter the Mexican retail banking market through the acquisition of Ibi Mexico.

The purchase, for an undisclosed sum, is outlined in a memorandum of understanding Bradesco signed with Ibi’s corporate parent, Cofra Holding AG, a holding company that also owns the C&A Mexico retail chain.

Bradesco, Brazil’s No. 2 non-state bank – Itaú-Unibanco is number 1 – said it expects the transaction to be completed by March 30, subject to regulatory approval in both countries.

Ibi Mexico’s loan portfolio amounts to the equivalent of 100 million US dollars and it has issued more than 1 million credit cards, Bradesco said. The Mexican institution’s shareholder equity is 566 million pesos (US$ 43.8 million).

The deal includes a 20-year partnership “to jointly and exclusively sell financial products and services through the C&A Mexico chain. Bradesco.

Marcelo Noronha, Bradesco Cards’ director says that the bank sees the deal as an opportunity to sell insurance and enter the lending market in Mexico.

“Mexico and Brazil are the two main economies in Latin America. Obviously there is an enormous potential in that market on demand of financial products,” he told reporters.

Since early 2009, when he became president of Bradesco, Luiz Carlos Trabuco Cappi, has emphasized that the focus of the institution is to expand its presence in Brazil. In November, Bradesco announced it was present in all 5,564 municipalities in the country.

MP/Bzz

Tags:

  • Show Comments (0)

Your email address will not be published. Required fields are marked *

comment *

  • name *

  • email *

  • website *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Ads

You May Also Like

Best-seller Books, Plays and Movies

The 1988 Brazilian constitution recognizes the right to a public and free education of ...

Use of Credit Card in Brazil Jumps 25% to US$ 50 Billion

Brazilians are using credit cards more often. Purchases made using plastic money in Brazil ...

With Brazil Leading Way, South America Spends Record US$ 50 Bi with Military

Thanks mostly to Brazil and Paraguay, military expenditure in the twelve countries that comprise ...

Brazil Reduces Growth Forecast in Half to 0.9%

For the third quarter in a row, the economic staff has reduced the official ...

CVRD and Alcan Accused of Violating Human Rights in Brazil

A Brazilian NGO (Non-Governmental Organisation) has denounced the construction cooperative of a hydro-electric basin ...

Brazil’s Congress and the Joy of Treading Mud While Staying in Place

In these weeks leading up to the 120th anniversary of the Abolition of Slavery ...

Sambody: Brazil’s Samba Invades the Academy

“Why should you have a booty if you’re not gonna shake your booty?” Edilson ...

Lula: Brazil Doesn’t Need Foreign Loans to Keep Growing

In an address, Monday, January, on a national radio and television pool, Brazilian President ...

Brazil Marks UN’s 60th Anniversary with Seminar on UN Reform

The role of the United Nations after the 2005 World Summit is the subject ...

Brazil’s Fragole Uses Art to Sell Clothes Worldwide

A garment factory from Porto Alegre, capital of the southernmost Brazilian state of Rio ...