Richard Li close to a deal on ING's insurance units
The Dutch bank will part with its Hong Kong and Thai business for as much as US$2.2b
ING Group, under European Union orders to divest assets, is near an agreement to sell its Hong Kong and Thailand insurance businesses to Richard Li Tzar-kai, three people familiar with the matter said.
The Dutch bank is in final negotiations with Li - younger son of tycoon Li Ka-shing - and an announcement may come as early as today, said the people, asking not to be identified because the discussions are private.
The proposed sale may value ING's Hong Kong business at about US$2.1 billion (HK$16.2 billion) and the Thai unit at less than US$200 million, one of the people said.
An agreement with Li would bring ING a step closer to fulfilling conditions stemming from its government bailouts in 2008 and the year after.
Earlier this month, the Dutch bank agreed to sell its Malaysian insurance business to Hong Kong-based insurer AIA for US$1.7 billion.
Victorina de Boer, a spokeswoman for Amsterdam-based ING, declined to comment, as did a spokeswoman for Li who asked not to be identified.
Li's father has pledged financial support for his younger son's ambitions to build his own businesses. Richard Li's older brother, Victor, is the heir to the property-to-ports empire their father created.