Capital One completes ING Direct deal
- February 17, 2012
McLean-based Capital One Financial Corp. has completed its acquisition of the ING Direct business in the United States.
Capital One bought the online bank from Dutch banking company ING Groep for $6.3 billion in cash and about 54 million Capital One shares. The stock gives ING Groep a 9.7 percent ownership stake in Capital One.
With the addition of $83 billion ING Direct deposits, Capital One becomes the sixth largest bank in the country.
Completion of the deal on Friday came only three days after Capital One received approval from the Federal Reserve.
Based in Wilmington, Del., ING Direct is the largest direct bank in the country. Since opening in 2000, it has attracted more than 7.6 million customers.
The European Commission ordered ING Groep to sell ING Direct in exchange for aid it received during the 2008 financial crisis.
“We expect the ING Direct acquisition will deliver compelling financial results in the near-term, and enhance our ability to deliver sustained value over the long-term to our customers, our communities, and our shareholders,” Richard D. Fairbank, the chairman and CEO of Capital One said in statement. “
ING Direct CEO Arkadi Kuhlmann will become an external consultant and will serve as a senior advisor to Capital One’s CEO providing services in support of various initiatives, including the integration of ING Direct.