Brazil’s PagSeguro denies it intends to acquire BVB Bank, says no signed agreements

RIO DE JANEIRO, BRAZIL – PagSeguro advised the market that it does not intend to acquire Banco Votorantim (BVB Bank) as sources familiar with the matter had told the newspaper Valor.

“Although PagSeguro PagBank is always looking for investment opportunities in the market, the company does not intend to acquire BV bank and there are no signed agreements related to doing so,” the company said in a statement and quoted by UOL.

In the text, PagSeguro said it was “proud” of the company’s track record over the past 15 years. “By May 2021, more than 70% of our new merchants stated that they were accepting payment cards for the first time,” it said.

“We are happy to serve our 7 million active merchants and 10 million active PagBank customers, an unparalleled result since the official launch of our banking strategy in May 2019, reaching more than R$500 (US$95) million in PagBank Revenue in 2020 alone,” it added.

The company assured in the statement that it remains committed to improving digital banking in Brazil and said it is confident in the decisions taken to grow the business.

The news of the likely acquisition had a strong negative reaction in the market, and PagSeguro’s shares fell more than 14% to $47.99 at around 1 PM on the New York Stock Exchange (Nyse).

With information from Valor and UOL