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UPDATE 1-S.Korea's KB Fin to decide ING unit buy in early December-sources
November 28, 2012 / 10:27 AM / 5 years ago

UPDATE 1-S.Korea's KB Fin to decide ING unit buy in early December-sources

(Recasts with confirmation from sources)

* KB Fin board to meet on Dec 5 to decide - sources

* Pressure on KB to seek lower price for deal - sources

SEOUL, Nov 28 (Reuters) - KB Financial Group Inc is set to decide on the purchase of ING Groep NV’s South Korean insurance unit at a board meeting on December 5, sources with direct knowledge of the matter said, in a deal that could be valued at more than $2 billion.

The sale of one of ING’s remaining two big Asian insurance assets has stalled since September due to pressure from KB’s independent directors to cut the purchase price, sources have said previously.

The Korean financial firm had earlier negotiated the acquisition price at 2.45 trillion won ($2.26 billion), the sources have said.

A spokesman for KB Financial declined to confirm the date of the board meeting or if the ING unit’s purchase will be discussed.

South Korean online news media Edaily earlier reported the board meeting.

ING is shedding assets to repay the 10 billion euro state bailout it received during the 2008 financial crisis.

If completed, KB’s buy will be the biggest acquisition in South Korea’s financial industry since Hana Financial Group’s $3.5 billion acquisition of Korea Exchange Bank concluded in February. ($1 = 1084.1000 Korean won) (Reporting by Joyce Lee in Seoul and Denny Thomas in Hong Kong; Editing by Muralikumar Anantharaman)

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