KBC announces EUR 25 m expansion in Poland

Belgian banking giant KBC is planning to open 120 branches in Poland, Reuters reported on Thursday.

KBC, the owner of Hungary's K&H Bank, is to spend a total of EUR 25 million on expansion in Poland between 2006 and 2008.

The Group said that in the absence of large banks for sale, it was not planning further acquisitions in the region.

KBC said it is still interested in acquisitions in Poland and Slovakia, although there are no concrete plans at the moment.

Speaking at a press conference after the company released first half results, Andre Bergen, deputy chief executive, said: 'We are open to acquisitions in Poland... there are no concrete plans to buy in Slovakia but we are looking at some projects.'

Asked if the company can meet its target for 10 pct market share in Poland, Bergen said that this would not be possible through organic growth alone.

Poland is the only country in Central and Eastern Europe where it has not met its target of a 10 pct market share.

So far, its plans for Poland involve expanding its banking network there by adding 50 branches in 2006, 50 in 2007 and 20 in 2008.

Bergen said that while the bank has made attempts to make acquisitions, discussions with potential sellers have not resulted in anything.

(Sources: AFX, Reuters, Portfolio.hu)

Your company can also profit on business in Poland. Novea is ready to help you.