News

MATERIAL FACT

Given that the Extraordinary General Meeting of Brasil Brokers Participações S.A. (“Company”) scheduled for July 28, 2008 was not installed on the first call due to lack of the minimum legal quorum of 2/3 (two-thirds) required by Article 135 of Law 6,404/76, the Company hereby announces that on today’s date it published a Call Notice inviting the Company’s Shareholders to attend an Extraordinary General Meeting (“EGM”) on the second call, to be installed with any quorum, pursuant to Article 135 of Law 6,404/76, to discuss a stock split through which each of the Company’s existing shares will be represented by 100 (one hundred) shares. The approval of the proposed split will result in amendment of Article 5 of the Company’s Bylaws to reflect the new number of shares in which its equity will be divided, which will increase from 1,639,732 (one million, six hundred and thirty-nine thousand, seven hundred and thirty-two) shares to 163,973,200 (one hundred and sixty-three million, nine hundred and seventy-three thousand, two hundred) shares. The new shares resulting from the split will have the same rights as the existing shares issued by the Company in circulation, including the right to receive the full amount of dividends and/or interest on equity announced by the Company.

The Company also announces that if the stock split is approved at the EGM, shareholders registered as such on August 6, 2008 will have the right to receive the shares resulting from said split and that as of August 7, 2008 the shares will trade ex-split (with the standard lot of 100 (one hundred) shares remaining) with transactions allowed in the odd lot market on the São Paulo Stock Exchange (Bovespa). If the stock split is approved, the credit of the resulting shares will occur on August 12, 2008.

Rio de Janeiro, July 29, 2008

BRASIL BROKERS PARTICIPAÇÕES S.A.
Álvaro Soares
Chief Financial and Investor Relations Officer