Bank of India buys 76 pc stake in Indonesian bank
Bank of India today acquired majority 76 per cent stake in Indonesian bank, P T Bank Swadesi Tbk, said a press release from Bank of India.
This is the first overseas acquisition for Bank of India, which has a representative office in Indonesia for the last 33 years.
P T Bank Swadesi Tbk is a mid-sized bank operating in Indonesia for the last 38 years. It has four branches, two each in Jakarta and Surayaba, five sub-branches, six cash points and one mobile cash unit. It also has a core banking IT infrastructure, ATM facilities and licence to do forex business. It is listed on the Jakarta Stock Exchange, said the press release.
Bank of India has international operations in 12 countries, including the UK, the US, Kenya, Singapore, China, Vietnam, Japan and others. It has a joint venture in Zambia, Indo Zambia Bank. International business contributes approximately 20 per cent of the asset size of the bank.
Representative office
The bank is also in the process of setting up a representative office in Johannesburg (South Africa), a branch at Antwerp, Belgium and a subsidiary at Tanzania. The bank has RBI permission to set up representative offices in Doha and Dubai, branches in Dhakha Dubai International Financial Centre and a subsidiary in Canada, the release said.
Last year, State Bank of India had also announced it was picking up 76 per cent stake in an Indonesian bank, PT Bank IndoMonex. However, the deal has yet to be finalised.
Shares of Bank of India closed at Rs 184.15 on the BSE on Monday, down 10.06 per cent from Friday’s close of Rs 204.75.
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