(Adds Itau shares and context) RIO DE JANEIRO, Nov 8 (Reuters) - Brazilian bank Itau Unibanco said on Monday it had received central bank approval to buy an 11.38% stake in brokerage XP Inc, as part of a deal signed in 2018. The lender said in a filing it expected the acquisition to go through next year, adding it still required regulatory approval from some foreign bodies. Itau acquired a 49.9% stake in XP in 2018. The deal also gave the lender the right to buy an additional stake in 2022 based on a multiple of 19 times XP’s earnings. It means the bank will likely pay below XP’s current market capitalization, as the broker is trading at roughly 35 times its estimated profit for 2021. The move comes after Itau decided last year to give its shares in XP directly to its shareholders mainly to avoid potential conflicts of interest between the two entities. In 2017, when Itau announced plans to acquire a stake in XP, its initial plan was to buy a controlling stake, but Brazil’s central bank barred the deal to avoid market concentration. Preferred shares in Itau were down 0.6% in the morning trading, roughly in line with the broader Bovespa stock index. (Reporting by Gabriel Stargardter Editing by Louise Heavens and Mark Potter)