News

Capital One completes ING Direct acquisition

Monday 27 February 2012 00:28 CET | News

US financial institution Capital One has completed its acquisition of the ING Direct business in the US, after receiving the Federal Reserve’s approval. The company has first revealed plans to acquire ING Direct in June 2011.

As a result, ING Direct customers will now gain access to Capital One’s ATM network across the country. The customers of ING Direct will continue to use all services that the company provides. After receiving a financial state aid of USD 13.13 million (EUR 10 billion) in 2008, ING Group was asked by the European Commission to sell its online banking unit.

Under the terms of the agreement with Capital One, the former paid USD 6.3 billion in cash and USD 2.7 billion in the form of 54 million Capital One shares to ING Group. The share offering gives ING Group a majority stake of 9.7 percent. Furthermore, with the addition of ING Direct’s deposits of about USD 83 billion as of December 31 2011, Capital One now has almost USD 200 billion as deposits.

Since 2005, Capital One has integrated three banks, namely the Hibernia Corporation in 2005, North Fork Bancorporation in 2006 and Chevy Chase Bank in 2009.
 


Free Headlines in your E-mail

Every day we send out a free e-mail with the most important headlines of the last 24 hours.

Subscribe now

Keywords: Capital One, ING Direct, online banking, European Commission
Categories: Banking & Fintech
Companies:
Countries: World
This article is part of category

Banking & Fintech






Industry Events