Belgian KBC eyeing majority stakes in KB and Warta

Belgian banking and insurance group KBC is looking to increase its stake in Kredyt Bank (KB) and insurer Warta to "create the largest insurance-banking group in Poland by linking the two, which should take place in spring of next year," said Luc Flamee, director of KBC for Central and Eastern Europe. "KBC plans to exceed the 50% stake [in KB]," said Zbigniew Zarazik, director of the European office for customer service at KB. According to Flamee, his company would up its stake in the bank by the end of next year or the beginning of 2002 when Kredyt Bank raises its capital. He added that KBC would not be able to take full control of KB since Banco Espirito Santo already holds a 20% stake and considers it a long-term investment. KBC is also contemplating the acquisition of a majority stake in Warta, in which the Belgians will soon hold a 40% share. Flamee also did not exclude the possibility of taking part in the privatization of Poland's largest retail bank PKO BP. "We also have plans for merging Agropolisa [company specializing in agricultural insurance] with Warta and if we do not succeed, we will withdraw from this company," said Flamee. (Puls Biznesu, pp.1, 5)