Australia’s ANZ Banking Group announced that it has agreed to sell its 55 per cent stake in a Cambodian joint-venture to Japanese diversified financial holding company J Trust.
According to a media release, the decision to sell the stake in ANZ Royal Bank, a joint venture with Cambodian conglomerate Royal Group, is in line with the Australian banking major’s ongoing strategic review of international operations.
ANZ expects to report a loss of A$30 million ($22.59 million) on the divestment. The sale is still pending final regulatory approval from the National Bank of Cambodia and the Ministry of Commerce.
This follows ANZ announcements on the sale of its stakes in the Philippines’ Metrobank Card Corporation, Shanghai Rural Commercial Bank in China as well as the sale of its Australian life insurance and superannuation businesses.
ANZ will continue to own the 55 per cent stake and manage ANZ Royal business for up to 12 months, while working closely with Tokyo Stock Exchange-listed J Trust to ensure a smooth transition. J Trust has operations in five countries, including banking operations in South Korea and Indonesia.
“We view the business environment in Cambodia as attractive and recognise it’s an important growth economy in the Asean region. However, the sale is in line with our efforts to exit minority investments and partnerships to focus on our Institutional business in Asia,” said ANZ international group executive Farhan Faruqui.