Scotiabank expands its reach in Thailand

Bank of Nova Scotia has bought another big chunk of a Thai bank, bringing its stake to the 49 per cent allowed to foreign owners in the Asian nation and strengthening its far-flung empire abroad. Scotiabank said yesterday it has bought an additional 24 per cent of Thanachart Bank, Thailand's eighth-largest bank and leading automobile lender, for about $270-million. "The Thai market has solid fundamentals with good long-term growth prospects," Scotiabank international banking chief Rob Pitfield said in a news release. Scotiabank bought its initial 25-per-cent stake in the Thai bank in March 2007 for about $240-million, with an option to move up to the 49-per-cent limit. The deal makes the Canadian bank the second-largest shareholder in the Thai bank after Thanachart Capital Public Company Ltd., which owns 50.9 per cent. Retail investors own the rest. BNS (TSX) rose 39 cents to $30.19.