#Brazil #São Paulo #Debenture Offering #Agibank #BRL 4 billion

Agibank Secures BRL 4 Billion Through Debenture Offering

Agibank, a leading digital bank in Brazil, has recently concluded a significant debenture offering that raised BRL 4 billion. This move is part of the bank's strategic initiative to enhance its funding capabilities and foster sustainable growth. Agibank's business model uniquely integrates digital efficiency with personalized physical service, setting it apart in the competitive banking sector.

The debenture issuance was executed in thirty-seven distinct tranches, maturing over a span of 74 months and offering an interest rate of CDI + 1.00% annually. Principal and interest payments are structured to be made at the end of each tranche, providing a clear repayment schedule for investors. This financial step involved both a public offering with automatic registration and a private placement, specifically aimed at professional investors. The debentures are underpinned by credit operations that meet pre-established eligibility criteria, ensuring a robust backing for the investment.

The capital generated from this initiative will primarily focus on expanding Agibank's credit portfolio while also diversifying its liabilities and funding sources. Marcello Dubeux, the Chief Financial Officer and Head of Investor Relations at Agibank, stated, “We remain committed to strict capital discipline and sustainable growth. Our aim is to deliver returns that exceed our capital costs while providing an empowering banking experience for all Brazilians.”

This recent issuance reflects Agibank's strong operational performance. During the first quarter of 2025, the bank reported a net income of BRL 350.5 million, achieving an impressive return on average equity (ROAE) of 45.2%. The bank's loan portfolio also experienced significant growth, soaring by 52.4% year-over-year to reach BRL 27 billion. Furthermore, Agibank maintained a favorable 90-day NPL ratio of 2.9%, coupled with a robust coverage ratio of 226%.

Recognizing its strong financial health and asset quality during rapid expansion, Moody's Local upgraded Agibank's rating from A+.br to AA-.br in April. Today, Agibank proudly serves over 5 million active clients and operates more than 1,000 proprietary Smart Hubs across Brazil.

As Agibank aims for continued growth and market penetration, this latest funding initiative is pivotal. By strengthening its capital structure and optimizing its credit operations, Agibank is positioning itself for future opportunities within Brazil's evolving financial landscape.

In conclusion, the BRL 4 billion debenture offering marks a strategic and significant step for Agibank, ensuring the bank's ability to thrive in a competitive environment while focusing on sustainable growth and profitability.