China Construction Bank negotiates acquisition of a bank in Brazil

17 January 2012

Sao Paulo, Brazil, 17 Jan – The China Construction Bank (CCB), the second largest bank in China by assets, is in talks to buy a bank in Brazil and in very preliminary negotiations with “two or three Brazilian banks,” US news agency Dow Jones reported.

Citing a source close to the process, Dow Jones said that CCB would spend around US$200 million to buy the smallest of the three banks and that the acquisition of the others had an estimated cost of between uS$500 million and US$600 million.

In August 2011, the Industrial and Commercial Bank of China (ICBC), china’s largest bank by assets, said it had bought an 80 percent stake in the Standard Bank Group’s operations in Argentina in a deal worth US$600 million.

The agreement took place after the Brazilian Central Bank had said in April that the ICBC had requested to start operating in Brazil. (macauhub)