Brazilian real estate boost with economic deal
The Brazilian arm of Spanish bank Santander has raised £5 billion after a share offering in the South American country.
In a boost to Brazilian property owners, who have seen the country’s economy recover well from recession, the flotation in both Sao Paolo and New York was the biggest in the world since Visa’s offering in March 2008 and the largest ever for a Brazilian firm.
The bank, which is the third largest private-sector bank in Brazil based on asset size, will use some of the proceeds to expand its branch network and install automatic teller machines in the country.
It has a market share of 10.2 per cent with over 3,600 branches across the country, having expanded via six domestic takeovers in the past 12 years.
The Brazilian unit of Santander has emerged as one of the most profitable parts of the company, accounting for 20 per cent of its net income during the first half of 2009.
