RPAD6: quote, dividends and indicators for Alfa Holding

Alfa Holdings S.A., traded on B3 under the tickers RPAD3, RPAD5 and RPAD6, is a holding company whose history began in 1959. Originally incorporated as Participação e Administração S.A. – PASA, in Belo Horizonte (MG), it was created with the purpose of holding equity interests in other companies. In 1969, it moved its headquarters to São Paulo (SP) and adopted the name Real S.A. Participações e Administração, reflecting its vocation as an investment vehicle for the group to which it belonged. In 1999, the company took on the name Alfa Holdings S.A., consolidating the “Alfa” brand as the identity of the business conglomerate. Since then, the company has remained focused on acting as a holding company, with no direct own operating activities, concentrating on managing equity interests in companies in the financial, insurance and private pension segments. It is a publicly traded company registered with the Brazilian Securities Commission (CVM) since 1977, with shares admitted to trading on the Brazilian capital market.

Alfa Holdings’ corporate structure is geared toward the role of a pure holding company, with revenues concentrated in equity income from its investees. Its corporate purpose provides for the pursuit of trade and industry activities in general, but in practice its main activities take place through equity interests as a shareholder or quota holder in other companies. These interests involve companies that provide various financial services, such as investment banking, commercial banking, consumer finance, leasing and securities brokerage, in addition to insurance and pension companies. The parent company has no branches and maintains centralized management in an office, with a lean operating structure, which reinforces its nature as a company focused on portfolio management and capital allocation within the Alfa Conglomerate.

The group of companies linked to Alfa Holdings S.A. is divided into three main business lines: wholesale, retail and insurance/pension. In the wholesale segment are Banco Alfa de Investimento S.A., Alfa Corretora de Câmbio e Valores Mobiliários S.A. and BRI Participações Ltda., dedicated to activities such as corporate banking, capital markets transactions, treasury, securities brokerage and financial services for companies and institutional investors. In the retail segment, Banco Alfa S.A., Financeira Alfa S.A. – Crédito, Financiamento e Investimento and Alfa Arrendamento Mercantil S.A. operate with a focus on lending to individuals and companies, consumer finance, leasing and other typical retail banking and finance products. The insurance segment groups Alfa Seguradora S.A. and Alfa Previdência e Vida S.A., controlled through the affiliate Corumbal Participações e Administração Ltda., offering insurance and pension and life plans, which expands the conglomerate’s presence in protection and long-term accumulation products.

Alfa Holdings’ financial statements show that revenue is mostly composed of results from interests in associates and subsidiaries, with a smaller share from interest income on its own financial investments. In the recent period, the company has disclosed results on an individual basis, without detailing consolidated performance by operating segment, precisely because it operates as a holding company rather than a direct provider of services to the public. There is no record of customers accounting for more than 10% of total net revenue, nor of a dispersed base of end customers, since revenues essentially derive from the performance of its investees. This differentiates the company’s revenue dynamics from operating companies in the financial sector, making its economic logic closer to that of an investment vehicle whose results mirror the financial and operating performance of the Alfa Conglomerate companies.

Alfa Holdings’ control structure underwent a significant change with Banco Safra’s entry as the conglomerate’s controlling shareholder. In November 2022, Banco Safra and Administradora Fortaleza entered into an agreement for the acquisition of all shares held by Administradora Fortaleza in the Alfa Conglomerate entities that operated in lending, private banking, wealth management, asset management, investment banking and insurance. The transaction was completed in October 2023, granting Banco Safra control of the Alfa group. Subsequently, unified tender offers were filed to acquire shares of the conglomerate’s publicly traded companies, with the objectives of divesting control and, in some cases, canceling their registration as publicly held companies. After auctions held in 2024, Banco Safra became the holder of a majority stake in Alfa Holdings, reaching about 80.5% of capital in April 2024. An additional offer to increase its stake held an auction in September 2024, without reaching the quorum required for a going-private transaction, which kept Alfa Holdings S.A. as a publicly traded company with shares listed on B3 under the tickers RPAD3, RPAD5 and RPAD6.

Geographically, Alfa Holdings’ and its investees’ activities are concentrated in Brazil, with no revenue generated from abroad in recent fiscal years. The conglomerate’s companies operate mainly in the Brazilian market for financial services, insurance and pensions, subject to domestic regulation by agencies such as the Central Bank of Brazil and the Superintendence of Private Insurance (Susep), even though these bodies do not directly regulate the holding company, but rather the group’s financial institutions and insurers. From the holding company’s standpoint, there is no dependence on specific licenses, concessions, patents or franchises for the exercise of its main activity, which is limited to managing equity interests and administrative activities. The office-based nature of its operations also reduces direct environmental risk exposure, since there are no industrial processes or significant consumption of natural resources associated with the company’s core activity.

From a regulatory standpoint, Alfa Holdings is subject mainly to the rules applicable to publicly traded companies and to the governance and transparency practices required by the CVM and B3, especially regarding the disclosure of financial information and material facts to the market. No specific government authorizations are required for its activity as a holding company, beyond its registration as a publicly held company. With respect to environmental obligations, the company states that it complies with current legislation, considering that its administrative activity does not generate material environmental impacts that would justify adopting a complex environmental policy or large-scale mitigation programs. Even so, the company reports that it is not possible to precisely measure specific costs related to compliance with environmental regulations, given the low direct impact characteristics of its activities.

In the environmental, social and governance (ESG) field, Alfa Holdings fits into the broader context of the Safra Conglomerate, which prepares sustainability reports focused on social, environmental, climate and corporate governance activities. These reports follow international frameworks such as GRI standards, SASB standards, the UN Global Compact principles and the Sustainable Development Goals, and they also address pillars aligned with the recommendations of the Task Force on Climate-Related Financial Disclosures (TCFD), especially in governance, risk management and metrics. The conglomerate conducts an annual greenhouse gas emissions inventory, which helps map and monitor its direct and indirect climate impacts. The ESG information, although not audited by an independent entity, is used to provide transparency regarding the sustainability and governance practices of the group to which Alfa Holdings belongs, complementing the financial statements and management report disclosed to the market.