Fosun to acquire Brazilian firm Rio Bravo
CHINA’S Fosun has signed an agreement to acquire Brazil-based investment management firm Rio Bravo, just a day after the Chinese conglomerate announced another massive overseas deal.
Fosun, which has interests ranging from property to mining, said it will buy the controlling share of privately owned Rio Bravo Investimentos, but did not give a value for the deal. Fosun did not immediately respond to request for comment.
The Chinese government is encouraging companies to invest abroad to gain access to foreign markets and technology, as economic growth stalls at home.
Fosun chair Guo Guangchang said the latest deal was an “important milestone for the laying out of Fosun’s globalisation strategy of being present in important emerging economies”.
Fosun intends to use the acquisition as a gateway to Brazil and the Latin American region in business areas such as property and investment, the statement said.
The Chinese conglomerate announced that its pharmaceutical unit would buy just over an 86 percent stake in India’s Gland Pharma for up to US$1.26 billion.
And earlier this month, it completed a takeover of the English Championship football club Wolves.
Fosun chair Mr Guo has been described as China’s Warren Buffet. Hong Kong-listed Fosun also owns Club Med and has a stake in Cirque du Soleil. –