Daiwa Agrees to Buy KBC Business for About $1 Billion

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Daiwa Securities Group Inc., Japan’s second-largest brokerage, agreed to buy KBC Groep NV’s convertible bond and Asia equity derivatives units for about $1 billion as the Belgian bank raises funds to repay state aid.

Under the agreement, Daiwa is paying about $200 million for assets and about $800 million for the trading position, the companies said in a joint statement today. The transaction is subject to regulatory approval and is expected to be completed early in the fourth quarter, according to the release.