Brazil’s President Dilma Rousseff and China’s Premier Li Keqiang were present earlier this week in Brasilia to witness the signing of several key transactions involving investments by the Chinese SOEs in several sectors, including one in which Shearman & Sterling represented the Bank of Communications Co., Ltd. (“BoCom”), a Chinese joint stock company listed on HKEx, in its acquisition of 80% of the total outstanding shares of Brazil’s Banco BBM S.A. (“BBM Bank”).

The purchase price for the transaction will be determined with reference to the book value of BBM Bank as set out in the most recent audited consolidated financial statements for BBM Bank prior to the closing date of the transaction, subject to agreed adjustments. The closing of the transaction is conditional on various regulatory approvals.

BoCom, founded in 1908, is one of the five largest banks in China. Its business scope includes commercial banking, securities services, trust services, financial leasing, fund management, insurance and offshore financial services. BoCom is dual-listed on Shanghai and Hong Kong stock exchanges.

BBM Bank, founded in 1858, is one of the oldest financial institutions in Brazil. BBM Bank is headquartered in Rio de Janeiro and has outlets in both São Paulo and Salvador. Its principal businesses include corporate credit, private banking and treasury businesses.

The Team