(Reuters) – UBS Group AG <UBSG.S> and Brazilian state-controlled lender Banco do Brasil SA <BBAS3.SA> are set to launch an investment bank in South America, UBS said on Wednesday.
UBS will hold a 50.01% stake and Banco Do Brasil will own a 49.99% stake in the new investment bank, according to UBS.
Both companies will appoint three members each to the board of the new investment bank, the statement said.
UBS added that the investment bank’s chairperson will be appointed by Banco Do Brasil, while UBS will appoint the Vice Chairperson and Chief Executive Officer.
Reuters reported in September that the two companies were in advanced talks for an investment banking joint venture.
(Reporting by Dominic Roshan K.L. in Bengaluru; Editing by Sonya Hepinstall)