Bendigo and Adelaide Bank will expand its agribusiness banking interests by 50 per cent with the purchase of Rural Finance Corporation of Victoria from the state government.The bank will buy Rural Finance, including its loan book of approximately A$1.7 billion, for about $1.78 billion.Rural Finance reported a net profit of $32.3 million in the year to June 2013. Profit has increased consistently over recent years, with negligible bad debts. More than half of new lending was under subsidised loan programs.
 The financier's return on assets was close to two per cent. Its return on equity was 11.5 per cent.Bendigo said it was committed to maintaining Rural Finance's "distinct brand and its presence in 11 locations across Victoria."The purchase provides a counterweight in southern Australia to the more troubled agribusiness sector in the Queensland cattle and wheat belt.The bank will make a $230 million institutional capital raising and will follow up with a placement plan for retail shareholders.