BTG Pactual, a Latin American investment bank, announced its acquisition of HSBC’s operations in Uruguay, in a move to foray into the Uruguayan market.
The transaction, valued at $175m, includes HSBC’s equity and additional capital instruments amounting to $191m. The acquisition is subject to adjustments based on equity changes until the transaction’s closing date.
This move allows BTG Pactual to expand its services in Uruguay, encompassing retail, corporate and small and medium enterprises (SME) lending, investment banking, and wealth management.
This acquisition strengthens BTG Pactual’s presence in Latin America. It aligns with BTG Pactual’s broader international expansion strategy.
BTG Pactual CEO Roberto Sallouti said: “The acquisition of HSBC in Uruguay is an important part of our internationalisation strategy and strengthens our presence in the region. We want to be the bank for Latin Americans, with the comprehensive service offering and recognised quality of BTG Pactual.
“We continue to grow solidly and consistently and will bring solutions that combine security, technology, and excellence to the Uruguayan market.”
According to BTG Pactual, its partner Rodrigo Goes will oversee the operations in Uruguay. The bank already operates in Mexico, Colombia, Peru, Chile, and Argentina.
Goes said: “We know this audience well and are confident that there is room to provide excellent services that meet the expectations of Latin Americans, now a global community.
“We believe there is a synergy between the countries that will help strengthen the continent’s business environment, and we will also be attentive to the specificities of the Uruguayan market, offering personalised services tailored to each client’s needs.”
The deal’s completion depends on fulfilling specific conditions, including necessary regulatory approvals. HSBC operated five branches in Uruguay by the end of 2024.
Last year, BTG Pactual initiated its global expansion by acquiring MY Safra in the US to enhance services available to Latin Americans there. The bank has offices in Miami and New York.
Additionally, BTG Pactual Europe was established after acquiring Luxembourg-based FIS Privatbank, further solidifying its European presence with offices in Portugal, Spain, and the UK.
Headquartered in Brazil, BTG Pactual offers a range of financial services across investment banking, corporate lending, asset management, wealth management, and personal banking. It also holds stakes in several subsidiaries, including Banco PAN.
