Itaú Unibanco Closes Financing with OPIC
July 15, 2014
São Paulo, Brazil - Itaú Unibanco, the biggest bank in Latin America by market value, announced today that it has secured financing of US$400 million from the Overseas Private Investment Corporation (OPIC), the U.S. government’s development finance institution, with an additional US$80 million from Wells Fargo Bank, which is acting as a Sponsor of the initiative.
The loan, which has a six-year maturity, will be used to support the expansion of Itaú’s small to medium sized enterprise (SME) loan portfolio, particularly in the North and Northeast regions of Brazil where there is limited access to debt financing.
Cândido Bracher, CEO of Itaú BBA said: “Itaú is committed to expanding its footprint further into the North and Northeast of Brazil as part of our lending strategy to small and medium sized companies. This loan, which is OPIC’s largest disbursement in Latin America to date, demonstrates our intention to raise innovative long-term funding solutions to support our clients in these regions to help them overcome restricted access to financial services.”
Elizabeth Littlefield, President and CEO of OPIC, said: “This support to Itaú Unibanco represents a milestone for OPIC, the U.S. government’s development finance institution. Applying OPIC’s unique development scoring methodology, Itaú’s effort to increase access to finance in Brazil resulted in the highest score among all of the Agency’s commitments in 2013. OPIC’s support will help Itaú fund thousands of small and medium enterprises (SMEs) through an innovative model to provide loans with longer tenors than typically available, spurring the next generation of Brazil’s growth, job creation and development.”
About Itaú Unibanco
Itaú Unibanco is one of the largest banks in the world by market value. With total assets of R$1.03 trillion and net income of R$ 16.5 billion in 2013, Itaú Unibanco is a leader in private banking, vehicle financing and in the credit card market. The bank maintains a strong presence in banking activities for large corporates and has strong positions in real estate lending and credits withheld from paychecks. Itaú Unibanco is present in 19 countries besides Brazil and listed on the BM&FBovespa (ITUB3, ITUB4) as well as on the New York Stock Exchange (ADR level), and the Buenos Aires Stock Exchange (ITUB4). Its vision is "To be the leading bank in sustainable performance and customer satisfaction". For more information, please visit our website: www.itau.com.br or www.itau.com.
OPIC is the U.S. Government’s development finance institution. It mobilizes private capital to help solve critical development challenges and in doing so, advances U.S. foreign policy. Because OPIC works with the U.S. private sector, it helps U.S. businesses gain footholds in emerging markets, catalyzing revenues, jobs and growth opportunities both at home and abroad. OPIC achieves its mission by providing investors with financing, guaranties, political risk insurance, and support for private equity investment funds.
Established as an agency of the U.S. Government in 1971, OPIC operates on a self-sustaining basis at no net cost to American taxpayers. OPIC services are available for new and expanding business enterprises in more than 150 countries worldwide. To date, OPIC has supported more than $200 billion of investment in over 4,000 projects, generated an estimated $76 billion in U.S. exports and supported more than 278,000 American jobs. For more information about OPIC please visit www.opic.gov