Sumitomo Mitsui Financial Group or SMFG, plans to take a stake in India's Kotak Mahindra Bank, looking to expand its overseas footprint.
Japan's number 3 bank, will pay nearly 300 million US dollars for a 4.5 percent stake in the mid-sized private Indian lender. That's in addition to current ties with banks in Hong Kong, South Korea and Indonesia.
SMFG and other major Japanese banks, are seeking partnerships with local banks elsewhere in Asia as growth prospects at home remain weak. The Japanese lender will also consider launching retail banking operations in China and Thailand through such deals.