São Paulo, Brazil – (COMMERCIAL THREAD) –XP Inc. (Nasdaq: XP), a leading technology-driven platform and trusted provider of low-cost financial products and services in Brazil, yesterday signed the acquisition of a minority stake in Jive Investments, the largest independent alternative investment manager in Brazil, offering credit recovery services, real estate, and other distressed asset strategies. XP’s investment will enable Jive to accelerate its growth, while the partnership represents another step in XP’s initiative to nurture independent asset managers in Brazil within an entrepreneur-friendly ecosystem.
In addition, the development of independent managers responds to XP’s strategy by contributing to an increase in secondary market liquidity. Higher liquidity is vital when thinking about disintermediation of the credit industry through capital markets.
Currently, Jive manages around R $ 8 billion in assets, including R $ 21 billion in nominal terms with more than 1,300 investors in Brazil and abroad. The partnership will allow the company to create and distribute assets directly or through approximately 9,000 IFAs connected to XP’s network.
One of Jive’s strategic initiatives is to enter the retail channel. “Our initial goal was to invest in very complex assets for institutional investors. We are now extending our investment offerings to products with lower risk and complexity profiles, more suited to a wider audience, ”commented Guilherme Ferreira, partner at Jive. “Our plans include increased investments in technology, expanding origination and distribution channels, strengthening the team, and capitalizing on opportunities to acquire other managers and platforms that complement our business.
“Jive is a leading player in alternative investments in Brazil. Our vision is to offer our clients a complete investment ecosystem through partnerships with the best managers in the market, such as Jive, ”said Leon Goldberg, Partner at XP Inc.
Initial product development initiatives will focus on high yield credit, real estate and legal assets. More broadly, Jive intends to offer a more complete and integrated investment platform in alternative and illiquid assets, with differentiated products for investors. In addition, management plans to expand the company’s asset management, collection and recovery services to third parties, including banks, pension funds and large corporations.
The governance and independence of each company will remain unchanged.
The closing of the transaction is conditional on the approval of the Cade (Administrative Council for Economic Defense).
Jive Investments (www.jiveinvestments.com.br) is an integrated alternative asset management platform focused on the origination, acquisition and recovery of non-performing loans (“NPL”), real estate in complex situations , judicial assets and other distressed assets. A leader in investing in distressed assets in Brazil and the largest independent player in the market, Jive has a fully integrated debt collection process, including the management of judicial and administrative collection procedures and the management of recovered properties. and other physical assets, within a single, scalable, technology-intensive platform for asset location, pricing and recovery.
XP is a leading technology-driven platform and trusted provider of low-cost financial products and services in Brazil. XP’s mission is to disintermediate legacy models from traditional financial institutions by:
Train new categories of investors;
Democratize access to a wider range of financial services;
Develop new financial products and technological applications to empower clients; and
To provide high quality customer service and customer experience in industry in Brazil.
XP provides clients with two main types of offerings, (i) financial advisory services for retail clients in Brazil, high net worth clients, international clients and corporate and institutional clients, and (ii) a platform of open financial products providing access to more than 800 investment products, including equities and fixed income securities, mutual and hedge funds, structured products, life insurance, pension plans, real estate investment funds (REITs) and others from XP, its partners and competitors.
This press release contains “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are made as of the date of their first publication and are based on expectations, estimates , forecasts and projections as well as management’s beliefs and assumptions. Words such as “expect”, “anticipate”, “should”, “believe”, “hope”, “target”, “project”, “objectives”, “estimate”, “potential”, “predict”, “May,” “shall”, “could”, “could”, “intention”, variations of these terms or the negative of such terms and similar expressions are intended to identify such statements. Forward-looking statements are subject to a number of risks and uncertainties, many of which involve factors or circumstances beyond the control of XP Inc.
Actual results of XP, Inc. could differ materially from those stated or implied in forward-looking statements due to several factors, including, but not limited to: competition, change of customers, regulatory actions, change in external forces, among other factors.