Dutch ING insurance group seeking merger

Dutch banking and insurance giant ING has hired advisors from London to look at options for a strategic reorientation, Dutch newspaper Financieele Dagblad reported Friday.

The latest move by the leading Dutch financial services group follows the proposed merger between rival ABN Amro, one of the biggest banks in the Netherlands, and British bank Barclays.

Last year, ING signalled its determination not to be left behind in any sector consolidation. Now ING has appointed advisors from commercial banks Goldman Sachs and JPMorgan to look at its options.

Investors responded enthusiastically on Thursday, with ING's share price rising by 2.3 percent. The share price of Fortis, a possible takeover candidate, rose by 4.1 percent.

Sources in the financial world say ING is primarily looking for opportunities to grow in banking. Seven of the eight members on the executive board at ING have a background in banking.

But ING did not name any specific banks it was considering for a merger.

An ING spokesperson told Dutch press agency ANP that the company was following the exclusive merger talks between ABN Amro and Barclays closely. "It is an ongoing process," the spokesperson said.

The spokesperson said ING was not only looking for partners in Benelux -- Belgium, the Netherlands and Luxembourg, but "focusing on Europe as a whole," he said.

Analysts pointed to a number of potential ING targets, including Belgium's KBC Group, Germany's Commerzbank and Italy's Capitalia.

Source: Xinhua