The finance ministry has given the green light on the plan to have the state-run bank will sell assets and restructure its organization and labor force.
The bank is launching the new offices to address the growing pension management industries, and offer external investment opportunities to fund managers.
BdB's profitability was very high prior to Brazil's descent into recession. Renegotiating souring loans has helped the bank maintain adequate returns despite weakening asset quality. Therefore, we affirmed our ratings on BdB, said S&P in a press release
Banking association Asbanc lowered its forecast for credit expansion in 2017, as bad weather and a corruption knocked growth off course in February and March.
Investors and partners will provide 33% of the total financing, while technology suppliers Huawei and Nokia will provide a loan for US$850mn.
The acquisition will lead to an immediate 120-basis-point drop in Santander Rio's Tier 1 ratio from 12.24% as of March 2017, but the bank has a good capital cushion, said Moody's in a press release.