Sao Paulo, Brazil, 6 Oct – Portuguese state bank Caixa Geral de Depósitos (CGD) is planning a capital increase in 2010 for Banco Caixa Geral Brasil, following the positive results posted by this Brazilian subsidiary, Brazilian financial daily Valor Económico reported in Sao Paulo.
The chairman of the board of Banco Caixa Geral Brasil, Rodolfo Lavrador, told the paper that the results, since the bank had re-launched its business in Brazil, had exceeded expectations and thus the bank had decided to increase its capital, he said, despite not saying by how much.
The CGD group re-launched its operations in Brazil in the first quarter of this year, with the aim of becoming one of the top 50 banks in the Brazilian market by 2012.
Banco Caixa Geral Brasil started operating with capital of around 40 million euros, offering loans for projects and foreign trade, currency exchange and mergers and acquisitions advisory.
Lavrador said that the bank also planned to open an area specialised in wealth management as well as a branch in Rio de Janeiro in 2010.
The chairman of the bank’s board noted that the focus of CGD’s business in Brazil had been medium and large businesses, which have some relationship with the Iberian Peninsula. (macauhub)