Belgian bank KBC Group has finalized the sale of KBC Business Capital, the specialist asset-based lending (ABL) division located in the UK, to a wholly owned subsidiary of The PNC Financial Services Group.

KBC Business Capital, which provides asset-based lending solutions to UK companies across a broad range of sectors, has 21 staff operating from Haywards Heath and London, and four offices throughout the UK.

The transaction announced on 27 September provides capital relief, though not to a material extent, for KBC and has no impact on its Tier-1 ratio.

KBC Group CEO for Market Activities Luc Popelier said that with this divestment, KBC is strengthening its focus on its core bancassurance markets and know-how.

"I am convinced that under the new ownership, KBC Business Capital’s team will be able to leverage their market know-how and expertise built up over the years to the benefit of their customers and business partners in the UK," Popelier said.

PNC is diversified financial services organization and a asset-based lender in the US, with assets of $260bn as of 30 September 2010.