Dutch co buys 49pc stake in Canara Bank

New Delhi, Sept 26: Canara Bank announced that the Dutch asset manager Robeco Groep NV, a part of European banking giant Rabobank Groep, today acquired 49 per cent stake in Bank's asset management arm to gain a foothold in the country's robust mutual fund industry.

Robeco, which has assets under management of 139 billion euros worldwide and posted operating profits of 233 million euros in 2005, will pay Rs 115 crore to Canara Bank for its stake in Canbank Investment Management Services Ltd (CIMS), a company statement said.

The RBI has already given its assent to the proposed venture.

Robeco's foray follows other Dutch companies such as ABN Amro and ING Group as well as a number of other US and European players like HSBC, Franklin Templeton, Prudential, Standard Chartered and Fidelity.

UNI