BRUSSELS (Reuters) - Belgian financial services group KBC (KBC.BR) has agreed the sale of German unit KBC Deutschland, one of the final divestments needed to satisfy EU regulators after it received state aid during the financial crisis.
KBC said in a statement on Tuesday it had agreed to sell the business to several investors including affiliates of Teacher Retirement System of Texas, Apollo Global Management, LLC (APO.N), Apollo Commercial Real Estate Finance, Inc. (ARI.N) and Grovepoint Capital LLP.
The sale of the unit, which provides corporate banking and financial services to medium-sized German companies, would free up about 100 million euros ($135 million) of capital for KBC, with no material impact on financial results.
The divestment, which is subject to regulatory approval, is part of a plan drawn up by the European Commission to refocus the bank’s activities on retail to mid-cap markets and reduce risk-weighted assets.
The bank received 7 billion euros of state aid at the height of the financial crisis as part of a programme imposed by the European Union executive. As part of that plan, Antwerp Diamond Bank is now the group’s only remaining asset to be sold.
($1 = 0.7412 euros)
Reporting By Philip Blenkinsop; Editing by Louise Heavens