KBC Group NV, the Belgian giant in banking and insurance, announced that it had completed the sale of its 22% share interest in NLB. The purchaser of the shares was the Republic of Slovenia for the cost of Eur2.77 million or US$3.6 million.
Each share sold was pegged at Eur1 per share would result in a negative impact on KBC's earnings of nearly Eur0.1 billion. The sale was booked as of the final quarter of 2012. For its part, KBC said the impact on overall capital was at best negligible.
According to a statement by KBC, "KBC is no longer a shareholder of NLB, complying with the request of the European Commission to divest from NLB." NLB is Slovenia's biggest lending institution, Nova Ljubljanska Banka after the European Commission required the divestment in exchange for state aid during the financial crisis. This is the second sale by KBC this week, accomplishing its compliance requirements after its acquisition spree across Europe prior to the 2008 market crisis.
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