SAO PAULO, May 28 (Reuters) - Brazilian digital bank

Inter&Co has signed a deal to become payment firm

Granito's sole shareholder, it said on Tuesday, buying out

fellow lender BMG in a 110 million reais ($21.26

million) deal.

Inter&Co, which already owned a 50% stake in Granito, said

in a securities filing it had bought the remaining 50% from BMG.

The deal requires approval from Brazil's central bank and

antitrust watchdog CADE.

($1 = 5.1734 reais)