ICBC Standard Bank, a subsidiary of Industrial and Commercial Bank of China Ltd, has agreed to buy Barclays PLC's precious metals vault storage business in London.

Upon completion of the acquisition, ICBC, China's largest commercial lender by assets, will become the first Chinese bank to have a vault in London, which is one of the largest precious metals vaults in Europe, the bank announced on Monday evening. The vault can store 2,000 tons of gold and other precious metals such as silver, platinum and palladium.

By owning a precious metals vault, ICBC Standard Bank will be capable of providing a precious metals clearing service. It will offer customized services including supply and inspection of precious metals, according to ICBC.