OREANDA-NEWS. May 17, 2011. Citibank Distribuidora de Titulos e Valores Mobiliarios S.A. has won the fourth selection process for depositary institutions authorized for trading 10 Unsponsored Level I Brazilian Depository Receipt (BDR) programs, backed by shares issued by publicly traded companies with headquarters overseas. On Monday, BM&FBOVESPA opened the proposals and announced the result of the process, in which three financial institutions participated.

Citibank DTVM S.A. should simultaneously present BM&FBOVESPA and the Securities and Exchange Commission of Brazil (CVM), within 60 calendar days, with the necessary documentation for submission to register the 10 Unsponsored Level 1 BDR programs. The programs should include foreign companies that do not yet have BDRs traded on BM&FBOVESPA and which are headquartered in the United States and listed on U.S. stock exchanges.

There are currently 20 Unsponsored Level 1 BDR programs available for trading on BM&FBOVESPA, which have Deutsche Bank S.A. and Citibank Distribuidora de Titulos e Valores Mobiliarios S.A. as their depositary institutions. A third lot is in the registration phase and shall be presented to the market soon by Itau Unibanco S.A.. Banco Bradesco S.A., the winner of the third selection process, should soon request the registration of another ten programs.

BDRs can be traded by financial institutions, investment funds, portfolio managers and stock consultant authorized by the CVM -the last two in the list are only permitted to invest own capital – and by supplementary private pension plans and individuals and companies with financial investments of over BRL 1 million. Other individual investors (with financial investments of under BRL 1 million) can only participate in this instrument via funds.