Itau Unibanco paid about 8 billion reais for a stake in XP Inc, as part of a deal it struck with Brazil's biggest brokerage.
Itau, Latin America's largest lender, acquired a stake in the company. The operation was cleared by the Brazilian central bank.
The purchase is part of an agreement that had Itau buying a stake in the company. Regulators barred the bank from taking full control of the brokerage in the future, so it began to dismantle the deal in 2020. The bank sold about 5% of the stock to its shareholders.
Itau is unlikely to hold on to its new shares. Even though the bank was willing to buy the shares, it would end up selling them to its own investors, as it has done in the past, according to the Chief Executive Officer. The shares of the company are down.
After their failed union in 2017, the two firms became hostile towards each other, leading to a public spat in 2020 over an Itau marketing campaign.
Brothers are behind a $46 billion bank.
A financial supermarket that offers bonds, stocks, derivatives, and funds from a growing number of asset managers and banks was founded in 2001. The firm went public in New York with an IPO that was fourth-biggest in the U.S. that year.
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