BDR - Brazilian Depositary Receipt
Sponsored BDR
About Sponsored BDRs
When acquiring a Sponsored BDR, investors should be aware that the foreign issuing company actively participates in the program by entering into an agreement with the depositary institution in Brazil. This partnership ensures greater alignment with Brazilian regulations and facilitates access to relevant information regarding the underlying assets.
Investors should also consider that there is no guarantee they will be able to initiate or join legal actions, arbitration proceedings, or administrative procedures, either in Brazil or abroad, related to the BDR, the foreign issuing company, its managers, or shareholders. The depositary institution is also not obligated to initiate or participate in such proceedings, unless contractually stipulated.
The foreign companies issuing the securities underlying Sponsored BDRs may or may not be registered with the Brazilian Securities and Exchange Commission (CVM), depending on the program level (I, II, or III). For levels II and III, registration and compliance with disclosure obligations are required, in accordance with current regulations. The information provided by the foreign company is published on B3’s website; however, B3 shall not be held responsible for its content or for any failure in accessing such information.
BDRs are not registered with the U.S. Securities and Exchange Commission, pursuant to the U.S. Securities Act of 1933, as amended.
Investors should also consider that there is no guarantee they will be able to initiate or join legal actions, arbitration proceedings, or administrative procedures, either in Brazil or abroad, related to the BDR, the foreign issuing company, its managers, or shareholders. The depositary institution is also not obligated to initiate or participate in such proceedings, unless contractually stipulated.
The foreign companies issuing the securities underlying Sponsored BDRs may or may not be registered with the Brazilian Securities and Exchange Commission (CVM), depending on the program level (I, II, or III). For levels II and III, registration and compliance with disclosure obligations are required, in accordance with current regulations. The information provided by the foreign company is published on B3’s website; however, B3 shall not be held responsible for its content or for any failure in accessing such information.
BDRs are not registered with the U.S. Securities and Exchange Commission, pursuant to the U.S. Securities Act of 1933, as amended.
Who can purchase BDRs?
The acquisition of BDRs will be allowed to investors, as defined in current regulations, published by CVM. The intermediary institutions must, as a condition of BDRs acquisition, prove the investor's framework and the compatibility of the investment.
Without prejudice to the above, BDRs may be acquired by investors not resident in Brazil, provided that they meet the registration requirements foreseen in the applicable regulations.
In the period between the Ex-date and the Record date, the books will be closed for issuance and cancellation processes.
Without prejudice to the above, BDRs may be acquired by investors not resident in Brazil, provided that they meet the registration requirements foreseen in the applicable regulations.
In the period between the Ex-date and the Record date, the books will be closed for issuance and cancellation processes.