CAPITAL ONE FINANCIAL CORP acquired ING Direct USA for ~$9 billion ($6.3 billion cash + ~54 million Capital One shares, ~9.7% stake, at close; announced as $6.2 billion cash + 55,921,710 shares), a transaction completed in February 2012, structured as combination. The deal was a Carve-out.
ING Direct USA operates in Direct banking / deposits, is based in Wilmington, Delaware, USA. Capital One acquired substantially all of ING Groep's ING Direct business in the United States under a Purchase and Sale Agreement, taking the equity of ING Bank, fsb and related entities plus certain assets and liabilities. The consideration was $6.3 billion in cash and roughly 54 million Capital One shares (about a 9.7% ownership stake) at close. ING Direct, headquartered in Wilmington, Delaware, was the largest direct bank in the country with nearly $83.0 billion in deposits and over 7.6 million customers, making Capital One the leading direct bank and sixth-largest depository institution in the U.S.
Adds the leading national direct-banking franchise with over seven million digitally-native customers and proven online capabilities, positioning Capital One at the forefront of digital banking.
A large, low-cost online deposit base and a digitally-savvy customer franchise complementing Capital One's national lending scale. Funding base for national lending; digital-banking capabilities; deposit scale. Funded partly via a common stock offering. ING Direct's brand was later rebranded to Capital One 360; ING Direct CEO Arkadi Kuhlmann transitioned to a senior advisor role.
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, Chairman and CEO, Capital One
Advisory firms were not disclosed for this transaction.