General Atlantic to buy 31 percent stake in Brazil brokerage
SAO PAULO (Reuters) - U.S.-based buyout firm General Atlantic LLC agreed to pay 420 million reais ($200 million) for a 31 percent stake in XP Investimentos CCTVM SA, Brazil's largest independent brokerage, the companies said on Wednesday.
The purchase, XP said, puts off plans the brokerage had of listing shares on the stock market next year. "We got to know General Atlantic and our plans changed," said Guilherme Benchimol, XP's founder. "We have all we need now for the next few years."
XP, founded in 2001, boasts more than 70,000 retail investors and handles more than 20 billion reais ($9.6 billion) worth of trading each month. XP also owns educational, insurance, and wealth management units. XP has said it was considering offering investment banking services, too.
The purchase by General Atlantic follows a 100 million real ($47.8 million) investment in the brokerage last year by private equity firm Actis. Following that transaction, XP's original partners retain 59 percent of the brokerage and Actis owns 10 percent.
($1 = 2.09 Brazilian reais)
(Reporting by Guillermo Parra-Bernal and Aluísio Alves; Editing by Leslie Gevirtz)
NEW YORK - U.S. stocks finished mostly higher on Friday, with the S&P 500 closing at a record after more jobs than expected were created in February and January's figure was revised higher. | Video
- U.S. small businesses borrowed more money in January than they did a year earlier, signaling continued growth in the economy despite a spate of cold weather that has been blamed for weakness in many other indicators of activity.
BEIJING/HONG KONG - China reiterated its opposition on Thursday to a European Union plan to limit airline carbon dioxide emissions and called for talks to resolve the issue a day after its major airlines refused to pay any carbon costs under the new law.