ING bids near $2 bn for private bank units: source

ING bids near $2 bn for private bank units: source
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First Published: Thu, Sep 03 2009. 06 00 PM IST
Updated: Thu, Sep 03 2009. 06 00 PM IST
Amsterdam/Singapore: ING has received up to five bids for some or all of its private bank assets up for sale, a source familiar with the sale process said on Thursday, with bids for the full package running close to $2 billion.
The source said bids had been submitted for the Asian private banking unit, but were still coming in as of Thursday afternoon for the Swiss operations. There was also the possibility that some bids could come in after what had been a Thursday deadline, the source said.
ING declined to comment.
The bidding, the source said, is split roughly evenly between those who want one piece of the package or another and those bidding for the whole thing.
Multiple sources with knowledge of the deal told Reuters that DBS Group, Southeast Asia’s biggest bank, made a bid to buy the Asian private banking unit.
Lazard Ltd is advising Singapore’s DBS, three sources told Reuters. It was not known immediately how much DBS has offered for these assets. One of the sources said DBS will be “conservative” in its bid.
A DBS spokeswoman in Singapore declined to comment.
Julius Baer, which is being advised by UBS, is expected to bid for both assets, sources told Reuters. Both Julius Baer and UBS declined to comment.
ING is selling the private banking businesses as part of a plan to raise €6 billion to 8 billion through asset sales, which it announced in April.
The source who is familiar with the sale process said that the bids for the full package of assets were running closer to $2 billion than the $1 billion that some analysts had speculated they would fetch.
While ING has been targeting a deal by the end of September, the source said the timeframe was not a firm deadline and that a final decision could slip beyond that.
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First Published: Thu, Sep 03 2009. 06 00 PM IST
More Topics: ING group | DBS Group | Lazard Ltd | Banks | Banking |