The Banco de Brasília (BRB) plans to issue up to 1.67 billion shares to raise capital and strengthen its equity, with a minimum target of R$ 529 million and a maximum of R$ 8.86 billion.
Banco de Brasília (BRB) has announced its intention to issue a significant number of ordinary shares, totaling up to 1.67 billion, in a bid to raise funds in the market. This capital increase aims to strengthen the institution's equity, which currently stands at R$ 2.34 billion. Should the bank successfully raise the maximum amount from this issuance, its capital could potentially reach R$ 11.2 billion, indicating a nearly fourfold increase.
The plan will be presented to shareholders during an Extraordinary General Assembly scheduled for March 16. The proposal outlines how the bank anticipates at least R$ 529 million and possibly up to R$ 8.86 billion from the share issuance. However, this initiative is contingent upon shareholder approval, including that of the Federal District government, which is the controlling shareholder with a 71.92% stake in the bank.
This development comes amid broader financial challenges for BRB, including scrutiny related to an ongoing investigation involving the institution. The proposed capital infusion could be pivotal not only for restoring investor confidence but also for stabilizing the bank's operations in light of regulatory pressures and market conditions. The outcome of the upcoming shareholder meeting will be crucial for determining the bank's financial trajectory and strategic viability.
