Esporte Exclusive: Banco do Brasil resumes sale process of asset management unit BB DTVM
Esporte SAO PAULO (Reuters) – State-controlled Banco do Brasil SA has resumed the process to sell its asset management unit, known as BB DTVM, three people with knowledge of the matter said on Friday.
FILE PHOTO: A man wearing a protective face mask and gloves walks in front of Banco do Brasil (Bank of Brazil) during the coronavirus disease (COVID-19) outbreak in Sao Paulo, Brazil, March 24, 2020. REUTERS/Amanda Perobelli
The state-controlled bank told interested parties it expects delivery of binding offers next month, added the sources, who asked for anonymity because the discussions are private.
Banco do Brasil declined to comment.
The asset manager sale process began in 2019, under former CEO Rubem Novaes.
The process was interrupted last February after Banco do Brasil considered the bids delivered too low, a fourth source with knowledge of the matter said.
Since then, Novaes left and the Brazilian government appointed a new CEO for the bank, Andre Brandao. BB DTVM is the largest asset manager in Brazil and had around 1 trillion reais ($183 billion) in assets under management last year.
Some of the world’s largest asset managers, including BlackRock Inc, Franklin Templeton Investments and Prudential Financial, expressed interest in acquiring BB DTVM last year, according to one of the sources. But it is unclear whether all of the formerly interested parties will deliver bids now.
BlackRock, Franklin Templeton and Prudential Financial did not immediately reply to requests for comment.
Banco do Brasil aims to sell the control of its unit and had restricted Brazilian rivals, requesting the bidders to have at least $500 billion in assets under management. But the people added that it is unclear whether the same conditions will apply now or if the bank will change them to increase competition.
($1 = 5.4666 reais)
Reporting by Tatiana Bautzer and Carolina Mandl in Sao Paulo; Additional reporting by David French in New York; Editing by Matthew Lewis