Bradesco is expected to receive Porto Seguro shares in exchange for ceding its car insurance portfolio
Brazil’s private-sector bank, Bradesco is on the verge of clinching a minority stake in automobile insurer, Porto Seguro – reported Reuters.
A possible agreement with Porto Seguro would position Bradesco as a major shareholder in the company. As part of the transaction, Bradesco would receive Porto Seguro shares in exchange for ceding its car insurance portfolio to the company. Porto Seguro’s market capitalization is currently 3.4 billion Reais ($1.73 billion).
Bradesco offers insurance, pension plans, annuities and credit card services for customers.
Porto Seguro is a Brazil-based insurance company that provides a suite of insurance services, including automobile, health, property and casualty, life (including pension products) and cargo insurance.