Struggling Banco Master controller Daniel Forcaro is finalizing the sale of his stake in miner Minas Gerais Itaminas. According to value I found the value of the deal to be around R$700 million and could go up a bit more, as the operation has a “earn-out” structure (payment after purchase, conditional on future performance).
Forcaro had bought the stake in Itaminas at the beginning of last year with other investors. His 50% stake in the company was sold to the other partners, the Gontijo and Géo families. The Jio family owns the insurance company Pottencial and controlled Neon Bank (formerly Pottencial) when it underwent extrajudicial liquidation by the central bank in 2018 (the fintech company of the same name had other partners and ended up surviving and thriving).
When BTG bought a group of assets from Vorcaro in May, for R$1.5 billion, the stake in Itaminas was valued, but at that time the negotiations ended in failure.
how value As indicated, Forcaro intends to make some contributions to Master in the coming weeks, which should total around R$1 billion (taking into account the capital increase of R$100 million already approved by the BC).
He was also looking for a buyer for Will Bank and hired Laplace to assist in the process. This operation is seen as necessary to try to balance El Sayed’s position, because in addition to raising resources, it will require deposits worth R$7 billion from the group. This means that in the event of possible intervention and need for rescue by the FGC, the agency’s bill will be lower.
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