Canada's Scotiabank (NYSE: BNS) intends to help Brazilian natural resources companies to expand abroad, as well as foreign companies wishing to expand in the country, through its recently closed acquisition of Dresdner Bank Brasil, Armando Mariante, CEO of Scotiabank Brasil, told BNamericas.
"Canada and Brazil both have economies based, in part, on natural resources. Both countries have large oil and gas, mining and agricultural industries. Scotiabank has strong advisory capabilities focusing on oil and gas, mining and infrastructure," he said.
"Scotia Waterous, our oil and gas advisory group, is a leader in the world in this area. Just recently, Scotia Waterous advised Sinopec on its US$7bn acquisition of oil assets here in Brazil. Our mining and oil and gas teams include a large number of engineers, which gives us a deep understanding of a company's assets."
While Dresdner Bank Brasil operates as a wholesale bank, it also has a commercial banking license, enabling it to offer a range of financial services. Scotiabank retains this license as part of the acquisition and will operate as Scotiabank Brasil Banco Multiplo.
This transaction and the multiple banking licenses will enable the Canadian lender to explore additional options for growth, assessing each one as it arises, Mariante said.
"While we intend to use this acquisition for our global wholesale banking initiative, the multiple license arrangements give us options to broaden our services in a very attractive market," Mariante said.
Mariante joins Scotiabank from Brazilian development bank BNDES, where he was its VP.