Summary of Proposed Investment
Project Number
24147
Company Name
BANCO BOCOM BBM S.A.
Date SPI Disclosed
Mar 3, 2006
Country
Brazil
Industry
Financial Markets
Projected Board Date
Apr 4, 2006
Status
Completed
Sector
Commercial Banking - General
Department
Global Industry, Financial Markets
Environmental Category
FI
Previous Events
Approved : Apr 27, 2006
Signed : Jun 23, 2006
Invested : Jun 30, 2006
Project Description
Banco BBM S.A. (the Bank or BBM), which was founded in 1858 and is the country’s oldest private-sector bank, is one of Brazil’s leading mid-sized financial institutions. It provides a range of credit and loan products to smaller as well as medium-sized corporates, has an active – but prudently managed – proprietary trading business, and offers third-party asset management services to investors. As a result of its long history and very conservative business culture, BBM’s operations are characterized by robust credit structuring skills, as well as state-of-the-art risk management systems.
The project involves the purchase by IFC from BBM of a local currency-denominated, capital markets instrument with a value at current exchange rates of up to BRL105 million ($50 million-equivalent) and a tenor of 7 years. Funding proceeds from the transaction will be used by BBM to make credit available to medium-sized corporate borrowers. The Bank has targeted the latter group of borrowers as a priority business development area, and its credit exposure to these types of clients has recently been growing rapidly (up approximately 63% in 2005 to an aggregate level of BRL1.5 billion).
The project involves the purchase by IFC from BBM of a local currency-denominated, capital markets instrument with a value at current exchange rates of up to BRL105 million ($50 million-equivalent) and a tenor of 7 years. Funding proceeds from the transaction will be used by BBM to make credit available to medium-sized corporate borrowers. The Bank has targeted the latter group of borrowers as a priority business development area, and its credit exposure to these types of clients has recently been growing rapidly (up approximately 63% in 2005 to an aggregate level of BRL1.5 billion).
Sponsor / Cost / Location
Development Impact
Related ESRS/ERS
Contacts
For Inquiries About the Project, Contact
Mr. Joao Carlos Pinho
Director
Banco BBM S.A.
Rua Amauri 255 17.o andar Itaim Bibi
01448 000 Sao Paulo SP, Brazil
Tel: +5511 3704 0601
Fax: +5511 3704 0502
Director
Banco BBM S.A.
Rua Amauri 255 17.o andar Itaim Bibi
01448 000 Sao Paulo SP, Brazil
Tel: +5511 3704 0601
Fax: +5511 3704 0502