With the latest takeover, that will give the bank assets/securities worth about Rs 7,000 crore, Deutsche Bank will manage securities worth about Rs 24,000 crore.

According to Mr Javad K Shirazi, regional country head - India, Pakistan and Sri Lanka and chief country officer - India, of the bank, the transaction will go a long way in strengthening the bank’s position in the market. With its worldwide resources, global achievements and strategic positioning, expansion of its India business is a key focus area for the year 2000. Part of the thrust for this focus is expected to come from custodial, securities lending and fund administration services.

IITCS decided to hive off its institutional custodial services as part of its exercise to add value to shareholders. Its decision to sell the business to Deutsche Bank was based on its belief that the bank would be able to provide professional services to its customers, with its state-of-the-art international practices.

Deutsche Bank believes that the acquisition will help the bank to leverage opportunities arising from scale to produce real benefits from our institutional clients. Especially at a time when the bank is building a new generation of custody and investor services products in India to meet the new and growing demands from institutional investors on shore.

To a question raised by domain-b on whether the bank would get into the retail service levels, Mr Shirazi said, "Deutsche is essentially a wholesale bank as reflected in its activities in Asia and USA. It is only in Germany and some other countries that we participate in the retail business".

Deutsche Bank was awarded the "Top Rated" status for its custody services operations in India by the Global Custodian -- a quarterly publication recognized by market players worldwide -- in its 1999 emerging markets agent bank review.