Scotiabank
has agreed to acquire
Nuevo Banco Comercial Uruguay's fourth-largest private
bank in terms of loans and deposits as well as Pronto!, the country's
third-largest consumer finance company. The acquisition by Canada’s third
largest bank is its entry into Uruguay and marks an expansion in Latin America.

Terms
of the agreement with an investor group led by global private equity firm
Advent International were not disclosed. Both transactions are subject to
regulatory approval.

Scotiabank
will be the first Canadian bank with a retail network in Uruguay, the bank said.
Uruguay was one of few countries in the region to demonstrate GDP growth during
the 2009 crisis, according to Scotiabank.

"Scotiabank
has ambitious plans for the Uruguay market and that is what makes this an
exciting opportunity for our customers," Brian Porter, Scotiabank
(Toronto) Group Head, International Banking said in a statement. "Our
introduction to the Uruguay market will enhance an already unique Latin
American footprint."

Scotiabank's
Latin American footprint also includes operations in Peru, Brazil, Chile,
Colombia, Costa Rica, Dominican Republic, El Salvador, Guatemala, Mexico,
Panama, Puerto Rico and Venezuela.

The
acquisitions come on the heels of the Canadian bank agreeing to make an offer
for all of the common shares of DundeeWealth (82 per cent) that is doesn’t
already own of the investment manager in a C$2.3 billion deal.

Earlier
this year BNP Paribas agreed to sell its wealth management operations in the
Bahamas, Grand Cayman and Panama to Scotiabank, this publication reported.

As
part of expansion plans the Toronto-based bank carved out a Global Wealth
Management division in September.