Norwest Financial, the consumer finance subsidiary of Norwest Corp., has acquired Finvercon, SA, Compania Financiera.
It is Norwest's first entry into consumer finance in South America.
Finvercon, based in Buenos Aires, lends to members of labor associations. It has $38 million of receivables and 60 employees. Terms of the agreement were not disclosed. The acquisition has been approved by the U.S. Federal Reserve System and the Central Bank of the Republic of Argentina
"Argentina's economic growth and political stability are creating higher living standards and increased demand for consumer credit that make it an ideal entry for us in South America," said David Wood, Norwest Financial's chairman and CEO.