Royal Bank of Scotland Group (RBS) has entered into an agreement to sell its Argentine unit to Banco Comafi, as part of its strategy to trim its international operations and cut its balance sheet.
The transaction is subject to regulatory approvals and is due to complete in first half of 2011. The consideration will be paid in cash and is not material to RBS overall.
Recently, RBS has sold its business in Colombia to Canada-based Nova Scotia and sold offshore loan book covering assets from Argentina, Chile and Venezuela in line with its strategy.
The UK-based bank said that it will continue to have presence in Mexico and Brazil.
RBS, which is 83% owned by the UK government, is also planning to sell its credit card payment processing unit and other assets including 318 branches in UK, as well as its insurance division, reported Bloomberg.