PNB may acquire majority stake in Kazakh bank

Punjab National Bank plans to acquire a majority stake in a Kazakhstan-based bank to expand its presence in Central Asia, its Chairman and Managing Director K R Kamath said here today.

"We are trying to pick up 74 per cent stake in a bank called Dana bank in Kazakhstan, subject to RBI approval," Kamath told PTI.

The bank has completed due diligence, which is now being whetted. "Once that is complete, we will look at pricing," he said.

Outlining the bank's plans for overseas expansion, Kamath said, PNB would set up a bank in Bhutan with a local partner.

For Canada, PNB has received the Reserve Bank's approval to set up a subsidiary in Vancouver.

"We recently made a presentation to monetary authorities of Canada and they are positive. The process of submitting a business case is on. The whole process of starting operations is likely to take one year," he said.

Kamath said PNB would upgrade its representative office in Shanghai, China to a branch.