Amsterdam/New Delhi: Dutch financial services
major ING Group on Wednesday said it will sell its Swiss private
banking business to Switzerland-based Julius Baer for 344
Both companies have reached an agreement for the all cash
deal worth 344 million euros, ING said in a statement.
Subject to regulatory approvals, the deal is expected to
close in the first quarter of 2010. The transaction would
generate an estimated net profit of 150 million euros.
"The divestment of our private banking activities in
Switzerland illustrates once more that we are making good
progress in executing our `Back to Basics` programme," ING
Group CEO Jan Hommen said.
The Dutch group`s Swiss private banking business has
around 10 billion euros worth assets under its management.
"This sale and the recently announced divestment of our
life insurance and wealth management joint venture in
Australia and New Zealand show ING`s commitment to focus on
fewer franchises and the reduction of the complexity of the
group," Hommen added.
Julius Baer is a leading Switzerland-based private
ING said it was also in discussions about the future of
its private banking activities in Asia.
"Any further announcements on this matter will only be
made when appropriate," the statement added.