Bank of Nova Scotia today announced that it is expanding its operations in Peru.

Scotiabank Peru will acquire a 100% stake in Grupo Altas Cumbres’ Peruvian operation, Banco del Trabajo. This agreement is conditional upon regulatory approvals.

“We are very pleased to continue growing our presence in Peru,” says Carlos Gonzalez Taboada, CEO of Scotiabank Peru. “This new investment is another step forward in Scotiabank’s growth strategy for Peru.”

Established in 1994, Banco del Trabajo is the 9th largest commercial bank in Peru, with 132 points of sale and total assets of US$430 million at the end of December 2007, representing 1% market share.

Scotiabank has been in Peru since 1997. On Dec. 5, 2005 Scotiabank announced a US$330 million investment in Peru as part of the Bank’s strategic growth plan in Latin America. The transaction ultimately combined Banco Wiese Sudameris (BWS) and Banco Sudamericano to form Scotiabank Peru, the country’s third largest bank.

“This transaction represents a unique opportunity for Scotiabank to expand in the growing Peruvian micro-enterprise and consumer finance segments,” added Gonzalez Taboada. “By bringing together Banco del Trabajo’s successful track record in these segments with Scotiabank’s outstanding customer service and consumer finance platform, we are building an organization that meets the unique financial needs of Peruvians throughout their financial life.”

The combination of Scotiabank Peru’s consumer finance operations with Banco del Trabajo will make Scotiabank Peru the number one bank in the Peruvian consumer finance segment and number two in micro-lending. The transaction also includes an exclusive co-branding arrangement with Jockey Plaza, the largest upscale mall in Peru.