Banco BTG Pactual has successfully acquired the Brazilian wealth management division of Julius Baer, known as Julius Baer Brasil Gestão de Patrimônio e Consultoria de Valores Mobiliários Ltda. This acquisition surpasses competitors like Santander and marks a significant development in the financial sector.

The agreement was finalized on January 7, 2025, following considerable speculation regarding the sale. The Swiss bank has confirmed that it will continue to serve Brazilian clients through other international branches. The transaction is valued at 91 million francs, which is lower than previous estimates that ranged from 120 to 180 million francs.

As of November, the Brazilian unit managed assets totaling CHF 9 billion. After the sale, Julius Baer expects a 30 basis point increase in its core capital ratio (CET1). The deal is projected to be completed in the first quarter of 2025, while Julius Baer will maintain its operations in:

• Mexico
• Chile
• Uruguay
• Colombia
• Spain

Julius Baer entered the Brazilian market in 2005 and expanded by acquiring major family offices, GPS and Reliance, which merged in February 2020. However, the bank has encountered difficulties, including a notable bribery scandal associated with accounts held by Petrobras executives.

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