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Standard Chartered raises stake to 74.9% in Indian securities arm

12 December 2008: Standard Chartered Bank has completed the acquisition of an additional 25.9 per cent stake in Standard Chartered-STCI Capital Markets Limited (formerly UTI Securities Limited) to take its total holding in the company to 74.9 per cent. The company currently offers its services under the brand 'Standard Chartered Wealth Managers'.

Standard Chartered bought 49 per cent of UTI Securities Limited from Securities Trading Corporation of India Limited (STCI) in January 2008 following, receipt of regulatory approvals for the transaction.

This move by Standard Chartered to increase its existing stake is in line with its original intent reflected in the contract, under which both parties provided for the stake to be increased in stages to 100 per cent by 2010. Regulatory approvals have been received for the additional stake and change in the controlling interest in Standard Chartered-STCI Capital Markets Limited.

Neeraj Swaroop, Regional CEO - India and South Asia, Standard Chartered Bank, said: "This strategic initiative is a reflection of our long term commitment to the Indian market, despite the current economic slowdown. I am delighted that we have been successful in combining the strengths of Standard Chartered with UTI Securities, a recognised leader in the financial services spectrum."

He further commented, "We are extremely confident that with this partnership, we will continue to offer our customers both competitive investment avenues and remain a provider of choice in this challenging environment."

Somasundaram PR, Managing Director, Standard Chartered Capital Markets also said, "This has been a challenging year for the business but the acquisition of an additional stake at this time reflects the underlying confidence of Standard Chartered Bank in the Indian economy as a whole and in the Indian equity capital markets specifically. We have tested our plans in both the institutional and retail segments of this business in the last year and we are convinced we have a significant opportunity here and a global strategic fit."

The company currently offers its services under a global brand - 'Standard Chartered Wealth Managers'. Standard Chartered will also invest additional capital of US $4.5 million in line with the FDI guidelines with the increase in stake.

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Arijit De, head of media relations, +44 20 7885 7163

Note to Editors

Standard Chartered - leading the way in Asia, Africa and the Middle East

Standard Chartered PLC, listed on both London and Hong Kong stock exchanges, ranks among the top 25 companies in the FTSE-100 by market capitalisation. The London-headquartered Group has operated for over 150 years in some of the world's most dynamic markets, leading the way in Asia, Africa and the Middle East. Its income and profits have more than doubled over the last five years primarily as a result of organic growth and supplemented by acquisitions.

Standard Chartered aspires to be the best international bank for its customers across its markets. The Bank derives more than 90 per cent of its operating income and profits from Asia, Africa and the Middle East, generated from its Wholesale and Consumer Banking businesses. The Group has around 1,750 branches and outlets located in over 70 countries. The extraordinary growth of its markets and businesses creates exciting and challenging international career opportunities.

Leading by example to be the right partner for its stakeholders, the Group is committed to building a sustainable business over the long term and is trusted worldwide for upholding high standards of corporate governance, social responsibility, environmental protection and employee diversity. It employs 75,000 people, nearly half of whom are women. The Group's employees are of 115 nationalities, of which 60 are represented among senior management.

For more information, please visit: www.standardchartered.com

Standard Chartered Bank in India

Standard Chartered Bank is India's largest international bank with 90 branches in 33 cities, having a combined customer base of over 2 million retail customers and more than 1,200 top corporate relationships. Key businesses comprise Consumer Banking, including deposits, loans, wealth management, private banking and SME banking; and Wholesale Banking, which includes cash transaction banking, treasury, corporate finance and custody services.

Securities Trading Corporation of India

Securities Trading Corporation of India, the first Primary Dealer to be set up in India, is one of the leading bond houses in the country. STCI has recently demerged its primary dealer business into a wholly owned subsidiary, STCI Primary Dealer Ltd. The primary dealer subsidiary's core activities comprise participation, underwriting, market making and trading in Government Securities. Apart from the above, the subsidiary is an active participant in the inter-bank call money markets and Repo market and the corporate bond market. With a strong networth of Rs 9 Billion, STCI plans to actively participate in the Non-Banking Financial services segment in the country. The Company has recently started focusing on trading in the equities market on proprietary account.

For more information on Securities Trading Corporation of India, please log on to www.stcionline.com

Standard Chartered-STCI Capital Markets Limited (formerly UTI Securities)

Standard Chartered-STCI, set up in 1994, has grown from an institutional brokerage house to a full-fledged financial intermediary having nationwide presence in 90 major Indian cities with 38 branches and 137 franchises to service a wide range of clients. The company has significant presence in institutional and retail broking, online trading (www.usectrade.com is now known as www.standardchartered-wealthmanagers.co.in), depository services, portfolio management services, equities research, investment banking, fixed income securities, and distribution of third-party financial products.

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