The decision by Elders Ltd (formerly Futuris Corp) to reduce its investment in Elders Rural Bank from 50 to 40 per cent will free the agribusiness finance specialist to pursue distribution arrangements with a wider range of agricultural industry groups.Elders announced yesterday that it would sell 10 per cent of the bank to its joint venture partner, Bendigo and Adelaide Bank.The price for the sale was $33.9 million and was said to be set at book value.In Bendigo's annual report for 2008 the bank's 50 per cent share was valued at $179.4 million, implying that the bank has since written down the value of its Elders Rural Bank holding, even if only slightly, in the 10 months since.The bank will change its name to Rural Bank on July 1.Bendigo and Adelaide said in a statement yesterday that the purchase was funded through existing liquidity, and total capital would remain "broadly unchanged". The bank expects the purchase to be earnings per share accretive. A Bendigo and Adelaide spokesman said there were no plans to increase the holding in Rural Bank.Rural Bank will maintain its relationship with Elders but will be free to pursue other distribution agreements. Companies like AWB and ABB Grain are potential partners.