Dutch financial services company, ING Groep (ING) has scrapped plans to sell its insurance business in Belgium worth EUR500m-EUR750m as a stand-alone operation, highlighting the difficulties caused due to the Euro zone debt crisis.
ING’s European works council head Mathieu Blondeel said the firm will not move ahead with the sale as the bids received were too low and hence could not be considered.
ING will now instead include the Belgium insurance business with its European and Asian businesses, which are currently being readied for Initial Public Offerings (IPOs), reported Reuters.
The Belgian insurance operations were put on sale in July 2011, and the Dutch insurer Delta Lloyd (DLL.AS) expressed its interest in buying the business.
The bank began divesting its assets as part of a mandatory split-up imposed because of its bailout by government in 2008 during the financial crisis when it received a EUR10bn capital injection.
ING has in the recent past sold its Asian private banking business, car leasing unit, US online bank, and its Latin American insurance and investment management business.