ICBC buys a 20% stake in African bank

The Industrial and Commercial Bank of China (ICBC) will spend $5.46 billion to take a 20 percent stake in Standard Bank Group Ltd, Africa's largest bank, top officials of the Chinese lender said yesterday.

The deal is the biggest overseas investment by a Chinese company so far. It will make the ICBC the largest shareholder of the South Africa-based bank.

The ICBC will pay an average 120.29 rand (135.232 yuan) in cash per common share, 8.4 percent more than Standard Bank's closing price, it said in a statement. Standard Bank shares jumped 5.9 percent in Johannesburg on news of the deal.