Central Bank of Brazil approved the negotiation announced last year
SAO PAULO, Nov. 6, 2018 /PRNewswire/ -- Fosun announces the conclusion of the acquisition of 69.14% of Guide Investimentos, after the approval of the Central Bank of Brazil. Under the agreement, Fosun paid R$ 167.9 million, with an additional amount of R$ 120 million, conditioned to the company's future performance.
The acquisition is in line with Fosun's strategy of investing and building operations in emerging markets, particularly in Latin America. Following the successful acquisition of Rio Bravo, an independent asset manager in 2016, Guide's deal represents the second milestone in the creation of a solid and innovative Brazilian investment platform that will assist families and institutions in the country with affordable and customized investment strategies.
Alex Gong, Global Partner and Executive Director of Fosun, highlights Fosun's participation in the Brazilian market. "Fosun seeks to invest in companies that share the same core values as part of the long-term investment strategy. This acquisition is a way to move towards the level we want to achieve in Brazil. We see that Guide has potential to grow. We are confident in the potential of Brazil and the arrival of Guide in the Fosun family demonstrates our commitment to the development of the Brazilian market", said Alex Gong.
With 51 years of existence, Guide, which reformulated its strategy and brand in 2013 is one of the largest investment platforms in the country. The company offers a complete set of financial products, wealth management, financial planning, home broker and institutional desks. Over the past five years, Guide has grown strongly, through its offline and online financial distribution capabilities, as well as institutional brokerage activity.
Diogo Castro e Silva, Fosun Managing Director in Latin America, points out that Fosun is very satisfied with the acquisition of one of the main Brazilian financial distribution companies. "Fosun's ongoing investment in Brazil reflects our long-term development strategy in Latin America. This is the first step to create an innovative and sustainable finance ecosystem in Brazil".
Carlos Zanvettor, CEO of Rio Bravo and future CEO of Guide, emphasizes that the entry of Fosun will help the company to grow even more quickly and consistently, always preserving and improving the quality of its services, through its independent advisors and agents, besides intense use of technology. "The entry of Fosun represents a new phase for Guide. It is a reinforcement of our long-term commitment to delivering the best financial products to our customers and further investing in delivering the best investment experience on the market", says Zanvettor.
"For Guide and our customers, the entry of a global company like Fosun puts a whole new scale in our business. Our customers will have access to the best of both, local and global with innovative technologies and high-quality service and care", said Alexandre Atherino, Partner and Director of Guide.
With the completion of the transaction, Banco Indusval S.A. now holds a 20.00% stake in Guide and 10.86% stay with the managing partners that will remain at the head of the brokerage's management.
Fosun was founded in 1992. Fosun International Limited is a family-focused multinational company that has been listed on the main board of the Hong Kong Stock Exchange (00656.HK) since 2007, with total assets exceeded RMB560 billion (c.US$85 billion) as of June 30, 2018. With its roots in China, and through technology and innovation, Fosun's mission is to create customer-to-maker (C2M) ecosystems in health, happiness and wealth, providing high-quality products and services for families around the world.
About the Guide
With a fast growth registered in the last 5 years since the repositioning of the brokerage house and launching of its brand, Guide distributes financial products and services serving individuals and institutional investors in the Brazilian market. Through its offline and online channels, Guide has more than 62,000 individual clients consuming its diverse portfolio of investment products, as well as broadly serving an important range of institutional clients with a high level of expertise.