Industrial & Commercial Bank of China Ltd. and Standard Bank Group Ltd. signed a memorandum of understanding on Oct. 17 under which Standard Bank Group will transfer its 20% stake in Industrial & Commercial Bank of China (Argentina) SA to its parent, ICBC.

The purchase agreement, which is subject to certain conditions and regulatory approvals in China and Argentina, was announced in early August.

According to Moody's, the sale is credit positive for the bank's Argentina unit as it reinforces ICBC's commitment to its Argentine operation amid the country's macroeconomic crisis and significant market volatility.