Scotiabank in talks with controlling shareholder of BBVA Chile

TORONTO – Scotiabank is looking at buying BBVA Chile, which is in a strategically important high-growth market.

The Toronto-based bank (TSX:BNS) acknowledged Thursday that it’s in “non-binding, exploratory” discussions with the Chilean company’s controlling shareholder.

BBVA Spain also issued a similar statement Thursday after a Chilean media report that Scotiabank was among a small number of potential buyers for its Chilean bank.

Both Scotiabank and BBVA said there’s no assurance that they will reach a transaction agreement.

But the Toronto-based bank’s statement said that Chile is an important part of its Pacific alliance strategy, which emphasizes growing its presence in the high-growth markets of Mexico, Peru, Columbia and Chile.