August 19, 2022

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Understand ETASA's new strategy

Understand ETASA’s new strategy

Photo: Disclosure

The main event that marked the recent history of Itaú (ITSA4) was the bid, in 2021, between the shares of Itaú and the part invested by it in XP. This initiative came with the goal of separating the results between the two companies, and thus the impact of XP, given its size, on the Bank’s results. Since a significant part of the portfolio of companies owned by Itaú was and still consists of shares of Itaú, the holding company received, in class, a significant part of the XP shares – to be precise, 15% of the total share capital of XP.

Well, it didn’t take long for Itaúsa’s management to go public saying that the position received for XP was not strategic for them, and that the company would gradually phase out these resources and use them to acquire other business. And so it was done. The position, which was previously 15% of the total capital of XP, in December 2021 was already 13%; Recently, in physical fact July 6, it went up to 10%.

To offset this XP abstraction, the company has finally revealed its next investment target: CCRa franchise infrastructure and mobility company already listed on the stock exchange and well known in the market.

The initial investment was made through a large deal, which made way for one of the company’s largest investors, Andrade Gutierrez Participações, to enter Itaúsa with Votorantim.

And therefore, Of the 15% of the CCR owned by Andrade Gutierrez, 10% will remain with Itaúsa. price? 2.9 billion Brazilian reals. But, to complete the deal, you will need the approval of the CADE (Administrative Council for Economic Defense); It shouldn’t veto it, however.

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However, although this story is encouraging and attracting attention, it was not very happy for those who were already an investor in the company. This is because XP, since the breakup, has been rapidly devalued, hitting a 56% drop today.

In our Extreme Dividends portfolio, which included Itaúsa in 2021, we chose to exchange it for Itaú stock that would protect us from this potential move by XP. Whoever performed this operation had a much better result. Since then, Ita shares are down 9%, the same as Ibovespa’s, while Itaúsa’s shares are down 18%.

The question now is: Is it worth leaving Italy and returning to it after all this difference that occurred in the period? Well, this question will be answered there within the series Huge profits In the next issue. So don’t miss it.

Nikola MerolaCNPI Analyst at Inv Publications.

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