Dutch insurer ING has inked an agreement with Pacific Century Group (PCG) to dispose of its underwriting business units in Hong Kong, Macau and Thailand for a combined consideration of $2.14bn (€1.64bn) in cash.

Its insurance operations in Hong Kong and Macau comprise life insurance, general insurance, pension and financial planning units, while Thai operation includes life insurance.

Expected to complete during the first quarter of 2013, pending regulatory approval, the transaction will offer net gain of nearly €1bn to the Netherlands based insurer.

ING is selling its banking and insurance businesses across the globe to streamline operations and repay the state aid it received during the 2008 financial crisis.

The company said that the sale of the businesses, are in line with the previously announced intended divestment of its Asian insurance and investment management activities.

The agreement estimates ING’s combined life insurance businesses in the countries at 24.3x estimated 2012 earnings and 1.9x estimated 2012 book value of €865m, both on an IFRS basis.

In Hong Kong and Macau, the company serves over 270,000 customers, while in Thailand it caters to more than 300,000 customers.

Established in 1993, PCG operates in financial services, real estate, satellite communications, media and telecommunication services in Asia.