BRB (Banco de Brasília) has put forward a proposal to its shareholders for a capital injection of up to R$ 8.86 billion to strengthen the financial institution following losses tied to assets from Banco Master. This ceiling for the capital increase is set to be voted on at an extraordinary assembly scheduled for March 18. The proposal requires approval from a legislative project introduced by the government of Ibaneis Rocha, who is also the controlling shareholder of BRB, to the Chamber of Deputies of the Federal District.

The BRB plans to execute the stock offering through a private subscription model, which restricts the purchase to existing shareholders of the bank. Under the proposed framework, the minimum subscription amount will be R$ 529 million. Currently, BRB's social capital stands at R$ 2.344 billion, and if the minimum subscription is realized, it would rise to R$ 2.873 billion. In the case of the maximum injection, the capital could potentially reach R$ 11.2 billion, which would significantly bolster the bank's financial standing.

This move is seen as a necessary step to reduce the bank’s leverage ratio and stabilize its operations after the recent financial discrepancies linked to Banco Master. As the proposal awaits legislative approval, its outcome could have significant implications for the bank’s operational strategy and for the financial stability of the District of Federal where BRB operates.