State-owned Bank of Baroda (BoB) on Thursday said it had entered into joint venture agreement with BBVA (Banco Bilbao Vizcaya Argentaria) of Spain to sell 51 per cent stake in its credit card arm Bobcards.
BoB had entered into a Memorandum of Understanding with BBVA to form a joint venture of credit card business, BoB informed the Bombay Stock Exchange. Upon regulatory approval, the agreement between both entities would allow BBVA to acquire a 51 per cent stake in the existing credit card subsidiary of Bank of Baroda — Bobcards — it said.
Following the stake transfer, BBVA would become majority partner in the credit card joint venture. BBVA opened its representative office in Mumbai in 2006. At present, BBVA conducts trade and project finance business with large companies, besides structured and bilateral finance, and syndicated credit operations. These activities are part of corporate and investment banking.
