Brazil's Bradesco approves capital increase by up to $1.95 billion (updated)
UPDATE 1-Brazil's Bradesco approves capital increase by up to $1.95 billion Updates with more details about the announcement
SAO PAULO, July 29 (Reuters) - Brazilian lender Bradesco BBDC4.SA approved an up to 10 billion reais ($1.95 billion) capital increase, with controlling shareholders committing to subscribe for up to 8 billion reais, it said in a securities filing on Wednesday.
Bradesco said the capital increase, which was initially proposed by the controlling shareholders, will support a "strong pace of strategic investments" through higher investments in technology, commercial efficiency and business expansion.
Common shares will be issued at 15.43 reais and preferred shares at 17.64 reais, representing a 6% discount to Tuesday's closing price.
Bradesco will bring forward the payment of 6.5 billion reais in previously announced interest on equity to support shareholder participation in the deal.
If fully subscribed, the capital increase will boost the lender's common equity ratio by about 0.9 percentage point.
($1 = 5.1178 reais)
(Reporting by Andre Romani; Editing by Muralikumar Anantharaman and Natalia Siniawski)
((Andre.Romani@thomsonreuters.com; 11 991314109;11 56447500;))
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