Risk.net

Lone Star to buy KfW's stake in troubled IKB

Texas-based private equity firm Lone Star has agreed to purchase KfW Bankengruppe's stake in struggling German lender IKB. KfW, the German government-owned development bank, is selling all its holdings in IKB, which amount to 90.8% of IKB's total shares. Neither party officially disclosed details on the size of the transaction, but is it believed to be a few hundred million euros."KfW was able to achieve an adequate, positive purchase price and to reach an agreement on sharing certain portfo