Dec 29 Reuters DBS Group Holdings said on Friday it was raising its stake in China39;s Shenzhen Rural Commercial Bank in a S376 million 284.72 million deal, as it looks to tap into growing opportunities in the Greater China region.

DBS Bank, a unit of Southeast Asia39;s largest lender, will increase its stake in the unlisted Chinese bank to 16.69 from 13.

The bank will acquire 383.6 million shares at 5.25 yuan per share, DBS said, adding it intends to fund the transaction from its internal cash resources.

The lender had been in discussions with Shenzhen Huaqiang Asset Management Group since the start of the year to acquire their interest in Shenzhen.

The deal is expected to be immediately accretive to earnings and return on equity, DBS said.

1 1.3206 Singapore dollars

Reporting by Rishav Chatterjee in Bengaluru; Editing by Anil D39;Silva and Shweta Agarwal

Source Reuters