Scotiabank selling its Malaysian unit to Cathay Financial

TORONTO – Scotiabank has reached a deal to sell its Malaysian unit to Cathay Financial Holding Co Ltd.

The Canadian bank (TSX:BNS) indicated earlier this year that it was seeking a buyer for Bank of Nova Scotia Berhad.

Reports on Friday said that it would get about US$256.85 million (C$345.5 million) for the Malaysian unit.

Scotiabank spokeswoman Debra Chan confirmed that an agreement related to the sale of 100 per cent of the Malaysian unit had been reached with Cathay Financial.

However, Chan declined to confirm the transaction value or provide other details — citing a “quiet period” in when Scotiabank restricts its comments ahead of the release of its quarterly results.

Scotiabank is expected to releases its second-quarter financial report on Tuesday.