ING buys Santander's Latin American
ING Groep NV said Friday it has agreed to buy the Latin American pension operations of Spain's Banco Santander Central Hispano SA for EUR 960 million.
27 July 2007
AMSTERDAM (AP) - ING Groep NV said Friday it has agreed to buy the Latin American pension operations of Spain's Banco Santander Central Hispano SA for EUR 960 million in a deal that would nearly triple its presence in the high-growth market.
The Amsterdam-based ING said the agreement covers mandatory company pension plans in Mexico, Chile, Colombia and Uruguay.
ING said it is also in talks with Santander to buy its Argentine operations, but they are not included in the current deal.
ING said the deal would begin adding to earnings in 2009.
In 2006 ING's Latin American pension business reported EUR13.8 billion of assets under management at year end, with profit of EUR 64 million. Combined with the businesses it is buying, that would rise to EUR 35.5 billion of assets under management at the end of 2006.
With the purchase, ING would become the third-largest pension manager in Chile and Mexico, and the second largest in Uruguay, it said. It is already the largest in Peru.
ING shares rose 0.6 percent to EUR 31.22 in Amsterdam.
[Copyright AP 2007]
Subject: Dutch news