BRUSSELS - Belgian bank-insurer KBC said Thursday it has sold Antwerp Diamond Bank -- the world's second biggest such bank -- to Chinese group Yinren for an undisclosed sum.
The Antwerp bank provides financing to the diamond trade and has 75 years of experience in the industry.
With the acquisition, Yinren would be able to leverage on the bank's expertise, network and reputation in its bid to develop the Chinese diamond market, KBC said in a statement.
It would also allow Yinren, a group dabbling in real estate, diamonds and trade, to "play a role in the interaction between the world's main diamond centres -- including Antwerp, Mumbai, Dubai and Hong Kong -- and the upcoming centres of the Far and Middle East".
Under the deal, KBC would take on 400 million euros worth of high risk or bad loans on the diamond bank's books and also provide funding totalling 200 million euros to the bank for up to two years following the sale.
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