• Investment World
• eWorld
• Brand Line
• Mentor
• Life
• Brand Quest
• The New Manager
• Smartbuy

Stocks

• Quotes
• SE Diary
• Scoreboard
• Open-End Mutual Fund

Cross Currency

• Rates
  
  

Shipping

• Ports
  
  

Archives

• Yesterday
• Datewise
• Resources
• In Focus
• In Depth
• Events 2007

Group Sites

• The Hindu
• The Hindu ePaper
• Business Line
• Business Line ePaper
• Sportstar
• Frontline
• The Hindu eBooks
• The Hindu Images

Mr Stephan Claassen

Remya Nair

Mumbai, Aug 8 FirstRand Bank of South Africa, which is awaiting the Reserve Bank of India approval for a branch licence, plans to tap the potential for structured debt finance and investment banking in India.

The bank operating through a representative office in Mumbai is also looking at setting up a coal trading desk that would facilitate trade in coal between Europe, Africa and India, Mr Stephan Claassen, Executive Director, FirstRand Banking Group, told Business Line.

Indian companies import coal mainly from Australia, Indonesia and South Africa. FirstRand, which is the first bank from the African continent in India, sees tremendous opportunity in facilitating the business corridor between India and South Africa through trade financing.

With Indian companies aggressively looking to acquire assets in coal, automotive and pharmaceutical sectors in the African continent, the bank would be able to facilitate these mergers and acquisitions considering its significant presence there, Mr Claassen said.

Elaborating on its capital investment plans, he said that the bank would initially bring in $25 million, which is the minimum capital required in setting up a branch. Further capital infusion would depend on the bank’s business plans, he said.

Mr Claassen said the bank would focus initially on corporate banking in India. It will venture into wealth management services and retail banking at a later date. The bank will concentrate on fee-based activities and use lending to facilitate and support these activities.

The bank, which started its representative office last year, plans to expand its employee strength from 19 to 40 after it gets the branch licence.

When asked about the bank’s strategy for acquisition in India, Mr Claassen said the bank is not actively pursuing a stake in any domestic bank but would consider the possibility as and when the opportunity arises.

More Stories on : Foreign Banks | Coal

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Copyright © 2008, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line