São Paulo – Arab-controlled Banco ABC Brasil celebrated its 15th anniversary in Brazil in late October and increased its assets by eleven-fold and its net profit by twelve-fold since it made its initial public offering (IPO), or stock launch, in the Brazilian stock market in 2007. The financial institution is controlled by the Arab Banking Corporation, based in Manama, Bahrain, an Arab state in the Gulf.
The Banco ABC operates in the Brazilian market as a multiple bank that specializes in medium- and large-sized enterprises. According to a statement, since its IPO, the institution’s customer base increased by five-fold and the number of employees in Brazil tripled.
These are the results of diversifying its customer mix, especially among middle-sized enterprises, and expanding its portfolio of products, the bank says. “We created business units, catered to new customer segments, developed new distribution channels and expanded our geographic presence. We build a larger, more complete, more diversified and more resilient platform,” the bank’s CEO, Sérgio Lulia Jacob (pictured), was quoted as saying.
The ABC’s preferred stocks are sold in the B3 stock market at level 2 of corporate governance. Jacob said the bank saw in the IPO an opportunity to grow in the Brazilian market and that the offer created an additional source of income, essential for the gain of scale in a competitive market. The CEO said being a listed company increases the transparency, which is extremely important for a bank.
The Banco ABC is structured in Brazil as a locally managed partnership with support form the international controller. Over 5% of ABC Brasil’s capital is owned by its employees. The bank is present in 13 Brazilian states and 48 municipalities.
Translated by Guilherme Miranda
