Deutsche Bank (DB) - Get Report  is continuing to slough off subsidiaries as CEO John Cryan streamlines operations and grappled with investor concerns about a multibillion-dollar settlement with the U.S. Justice Department.

InvestaBank S.A., Institución de Banca said this week it would buy the largest German lender's banking and investment subsidiaries in Mexico, without disclosing terms. The announcement came just two months after Deutsche announced the sale of its Argentina subsidiary to Banco Comafi.

The sales help strengthen the bank's capital -- the buffer of extra assets that's supposed to protect depositors -- as the German lender grapples with concern about the size of a mortgage-backed securities settlement with the U.S. Justice Department. The agency proposed an amount as high as $14 billion, though Deutsche has said it will be much lower and that bringing the matter to a close is its highest priority.

"We are pleased to mark another major milestone in simplifying our bank by selling our subsidiaries in Mexico" as part of the company's long-term strategy, Karl von Rohr, Deutsche Bank's chief administrative officer, said in a statement. "We will work in partnership with our clients, regulators, employees and other stakeholders to ensure a smooth transition to the new arrangements."

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The deal is set to close in 2017. Deutsche Bank was advised by Skadden, Arps, Slate, Meagher & Flom.

The Skadden team includes M&A partner Paola Lozano, Ralph Perez, Jose Vivanco and Daniela Badiola, Andrew Woodard, Rebecca Rodal, Edward ‎Gonzalez, Jay Cosel, Timothy Nelson, Harvey Uris, Jonathan Frank and Julie Bédard.

Neither bank could be reached for comment on the deal Friday. Advisers for InvestaBank were not disclosed. 

Deutsche Bank told investors this week that it had increased its litigation provisions to €5.9 billion ($6.4 billion) in the the three months through September from €5.5 billion, and the lender posted €278 million in profit, beating analysts' projections of a loss.

The bank's recent sale of $4.5 billion in bonds put it just over a goal announced in July of selling about 8 billion euros of senior unsecured bonds through private placements before Dec. 31. The latest issuances emanated from "reverse inquiries," in which investors approach a company with an offer to buy its notes. More often, companies decide of their own volition to sell bonds and then cast about for buyers.