Itau Prepares First Credit FIDC

Itau is preparing a BRL400m ($251m) FIDC for Brazil’s domestic market, marking the first time the Brazilian bank has created such a product from its own assets. Backed by the bank’s own loans and other credit products made to medium and large businesses, the deal has a 3-year tenor and is expected to pay the DI rate plus 2.1%. Fitch rates the deal A on a national scale. Itau, which is also managing the sale, is expected to finalize the trade and begin funding this month.