(9 March 2004 – Hong Kong) Macquarie Bank is set to buy ING Group’s Asian equities business with the deal expected to take place before July.The deal will see ING’s Asian cash equities sales, trading, research and equity capital markets operations across 10 Asian countries sold to Macquarie for an undisclosed amount.
Some 428 ING employees will transfer to Macquarie, boosting Macquarie’s staff by eight percent.
ING Asia chairman and chief executive officer David Hudson said the group was pleased to have disposed of its Asian equities platform.
“In Asia we are concentrating our efforts on providing value-added products and services to a select group of clients to whom we cross-sell a broad range of products,” he said.
“These comprise debt-related financing, mergers and acquisitions advisory and financial markets products.”
Head of Macquarie Bank’s Investment Banking Group, Nicholas Moore, said the profit contribution of the business would depend on the markets and the operating performance of the team.
“This acquisition will give Macquarie critical mass in institutional broking in the Asia-Pacific, which is our home region,” he said.
“It allows Macquarie to broaden its activities and is an ideal extension to Macquarie’s existing infrastructure, equity capital markets, mergers and acquisitions, and other investment banking capabilities in our region,” Moore said.
He said the intention was to expand this business and didn’t expect any net job losses to occur.
“We are confident we will be able to quickly obtain leverage from combining the former ING operations with our existing business and we are working closely with the senior management team at ING to ensure a smooth transition,” he said.