SAO PAULO, Jan 29 (Reuters) - Brazil’s Itaú Unibanco Holding SA will control 50.5 percent of a new entity resulting from a combination of assets with Chile’s CorpBanca SA , said a senior executive on Wednesday.
Itaú expects to obtain $100 million a year in cost savings stemming from the creation of Itaú CorpBanca, Ricardo Marino, head of Itaú’s Latin American business, said on a conference call.
Itaú, Latin America’s largest bank by market value, took a key step in its overseas expansion plan on Wednesday with a deal to take control of CorpBanca SA. Under the terms of the cash and stock transaction, Itaú will pump $652 million into its Chilean unit, and then combine it with CorpBanca, according to a securities filing.
The combined entity, which will be named Itaú CorpBanca, will be majority held by the São Paulo-based lender and also will manage the Colombian subsidiaries of both lenders, the filing added.