Bloomberg "Anywhere" Remote Login Bloomberg "Terminal" Request a Demo

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

Standard Bank Finalizes Sale of Argentina Operations to ICBC

Dec. 6 (Bloomberg) -- Standard Bank Group Ltd., Africa’s largest lender, completed the sale of an 80 percent stake in its Argentine unit to Industrial and Commercial Bank of China Ltd. as its reverses its expansion strategy in emerging markets.

The Johannesburg-based lender expects a 1.6 billion-rand profit ($180 million) from the deal and will retain a 20 percent shareholding in the bank, it said in a regulatory filing today.

The bank plans to cut costs at its operations outside of South Africa by $100 million a year and will incur one-off costs of about $80 million as part of the rationalization.

“Conditions in our international operations remain very challenging,” the bank said. “We are currently taking action in respect of all aspects of the cost base in these operations so as to secure a sustainable reduction in costs.”

Proceeds from the Argentine sale will be used to boost the bank’s capital reserves and fund growth of its South African operations, the bank said.

To contact the reporter on this story: Stephen Gunnion in Johannesburg at sgunnion@bloomberg.net

To contact the editor responsible for this story: Dale Crofts at dcrofts@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.