ING to sell Joint Venture Stake to ANZ

September 25, 2009

ING announced it has agreed to sell its life insurance and wealth management businesses in Australia and New Zealand to its joint venture partner, Australia & New Zealand Banking Group Ltd. (“ANZ”).

On September 25, 2009, ING Groep NV (“ING”) announced it has agreed to sell its life insurance and wealth management businesses in Australia and New Zealand to its joint venture partner, Australia & New Zealand Banking Group Ltd. (“ANZ”).  Under the deal terms, ANZ will acquire ING’s 51% equity stakes in ING Australia and ING New Zealand and will become the sole owner of these businesses.  ING will receive EUR 1.1 billion in cash from ANZ.  The transaction is expected to create an estimated net profit of EUR 300 million for ING and free up approximately EUR 900 million of capital.  The cash proceeds and the estimated net profit  is anticipated to improve the debt/equity ratio of ING Insurance by 345 basis points.  The transaction is subject to regulatory approvals and is expected to close in the fourth quarter of 2009. 

ING and ANZ merged their insurance and wealth management businesses in Australia and New Zealand in 2002.  The joint ventures currently employs 2,200 staff in Australia and 500 in New Zealand.  

To view the Press Release, please click here.


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Investment Manager M&A, Transactions