Bank of Nova Scotia eyes M&A in India

NEW DELHI: Canadian banking conglomerate, Bank of Nova Scotia, on Monday indicated that it was eyeing acquisitions in India and said it will foray into retail segment to attain a higher growth rate of 15-20 per cent in the country.
"We are looking at all options including acquisition. Currently, Indian regulations permit 49 per cent foreign stake. But we would like to have management control.We are looking at the regulatory aspects," Bank of Nova Scotia Vice Chairman Richard E Waugh said on the sidelines of the International Banking Summit here.
The Canadian bank''s interest in India comes after the Government relaxed foreign direct investment norms to allow 49 per cent equity to foreign players from the previous 40 per cent.
Some of the private banks that are being considered for inclusion of foreign partners include Centurion Bank and IDBI. Waugh declined to comment on whether his bank was considering buying major chunk of equity in these banks.
The Canadian bank, having assets worth over $125 billion worldwide, has been operating in the country for the last 20 years through its branches in Delhi and Mumbai. Waugh said the bank forayed into Bangalore, Hyderabad and Coimbatore in the last three years.
As part of organic growth in India, the bank is planning to open a subsidiary. "We are planning to increase our investment in this emerging market. Opening subsidiary is an option we are considering. But we have nor decided yet," Waugh said.