ING has announced it has completed the sale of ING Real Estate Investment Management (ING REIM) Europe to US-based CBRE Group, Inc., thereby completing the divestment of ING REIM as disclosed on February 15, 2011.
As communicated at that time, ING agreed to sell ING REIM in two separate transactions for a combined price of approximately US $1.0 billion (approx. €728 million).
As far as the transaction with CBRE is concerned, ING closed the sale of Clarion Real Estate Securities (CRES) in the beginning of the third quarter and the sale of ING REIM's Asian business earlier this month.
With this announcement, ING completes the entire transaction with CBRE. The sale of Clarion Partners to Clarion Partners management in partnership with Lightyear Capital LLC was closed in the second quarter.
"The divestment of ING REIM fits our strategic objectives of reducing exposure to real estate, simplifying our company and further strengthening our capital base," said Jan Hommen, CEO of ING Group.
The divestment of ING REIM has resulted in an after-tax gain on disposal of approximately €470 million and a capital release of around €520 million.
ING Real Estate Finance and ING Real Estate Development are not impacted by the divestment of ING REIM.