KBC to start structured sales process for its s...

On reassessing  its investment  in Nova  Ljubljanska banka  (NLB)  in
2006, KBC decided to position  itself as a purely financial  investor
in the  Slovene bank.  Consequently, KBC's  entire 34%  stake  became
available on the market. KBC has now set the terms and conditions for
a comprehensive structured process that  will govern any future  sale
of KBC's 34%  stake in NLB  to a  third party and  the divestment  of
KBC's 50% stake in NLB Vita.
 
The aim of KBC and the Slovene Government is to organise an  orderly,
efficient and transparent tender process led by KBC, so that the most
suitable new partner(s)  for NLB  can be selected  in mutual  consent
between KBC and the Republic of Slovenia. The tender process  started
today with a resolution of the Supervisory Board of Nova  Ljubljanska
banka d.d. supporting the sales process.
 
André Bergen, KBC Group CEO commented : 'After careful  consideration
and with  some  regret,  we  decided to  become  a  purely  financial
investor in NLB when it became apparent that we would not be able  to
acquire a majority stake in the  Slovene bank. The sale envisaged  is
thus wholly consistent with KBC's  strategy, which is to explore  and
act  on  opportunities  to  acquire  direct  majority  ownership   of
companies in the region.'