By Luciana Magalhaes and Marcela Ayres

BRASILIA (Reuters) – Brazilian state-run lender BRB is weighing a fresh proposal for assets of Banco Master, a person familiar with the matter said, after the central bank blocked its initial bid, sending BRB shares tumbling on Thursday.

BRB, controlled by the Federal District government, said late on Wednesday the regulator had rejected a deal struck in March that would have given it 49% of Master’s common shares and 100% of its preferred shares, for a total 58% stake.

BRB preferred shares closed 5.6% lower on Thursday, as Brazil’s benchmark stock index rose 0.8%.

According to a person familiar with the talks, who asked not to be named as the plans are private, BRB has not yet had full access to the central bank’s decision and is not convinced it

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