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BTG Pactual Plans New Fund to Invest in Brazil Infrastructure

Banco BTG Pactual SA, the Brazilian bank led by billionaire Andre Esteves, plans to create an investment fund of at least 3 billion reais ($1.75 billion) to tap infrastructure development in Latin America’s biggest economy.

“We are raising money for an infrastructure fund that will be very big,” Esteves told reporters today in Sao Paulo, without disclosing the total size of the fund. It will invest in projects for railways, roads, airports and ports, amid other infrastructure opportunities in Brazil, he said.

BTG’s Brasil Energia (FIPBREN), a fund that invests in the Brazilian energy sector, is in the process of divestment and will generate a “big profit” for the bank, pension funds and the country’s development bank, known as BNDES, which are its main investors, Esteves said. The fund’s total assets were 1.52 billion reais on Feb 6, according to data compiled by Bloomberg.

To contact the reporter on this story: Katerina Petroff in Sao Paulo at kpetroff@bloomberg.net

To contact the editor responsible for this story: Helder Marinho at hmarinho@bloomberg.net

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