Less than three weeks after Itau and Unibanco announced to merge and create South America’s largest private-sector banking group, Banco do Brasil announce that they are buying 72% of Banco Nossa Caixa.
Banco Nossa Caixa is one of the state-controlled banks in Brazil. Banco do Brasil in the other hand is a national state-controlled bank. By acquiring Banco Nossa Caixa, Banco do Brasil would become only the nation’s second-largest bank, much to the chagrin of the Brazilian government.
“We want Banco do Brasil to be far bigger than any other bank in the country,” President Luiz Inácio Lula da Silva of Brazil told reporters on Tuesday.
According to Brazilian newspapers São Paulo state is planing to use the profit of the sale on improving transport infrastructure in the state.