ING Real Estate Finance Announces Sale of USD 1.6 Billion of U.S. Commercial
Real Estate Loans to Wells Fargo Bank, N.A.
Divestment is Continuation of ING's Strategy to Manage Down U.S.
Property-Lending Business as Company Sharpens Focus of Real Estate Finance
NEW YORK, Aug. 16, 2013
NEW YORK, Aug. 16, 2013 /PRNewswire/ --ING Real Estate Finance (USA) LLC
announced today that it has reached an agreement to sell 29 of its real estate
loans in the U.S. with a total outstanding balance of USD 1.6 billion (EUR
1.19 billion at current exchange rates) to Wells Fargo Bank, N.A.
The attractive terms reflect the quality of the portfolio, which consists
entirely of performing loans and represents approximately 50 percent of ING
Real Estate Finance's total U.S. loan portfolio. The agreement further
strengthens ING's capital position as ING Real Estate Finance focuses its
activity in its core markets. The company announced in September 2012 that it
would manage down its U.S. property-lending business.
"This divestment is a result of the successful execution of our strategy to
capitalize on current robust U.S. market conditions to generate strong
interest in the loan portfolio among a high-quality pool of potential buyers,"
said Michael Shields, Managing Director and Head of ING Real Estate Finance
Western Europe, UK, USA and Structured Products. "As ING sharpens the focus of
its Real Estate Finance business, we will continue to deliver tailored real
estate financing solutions in our other Real Estate Finance markets."
"As the number one commercial real estate lender in the U.S., adding
high-quality, performing loans to our portfolio is consistent with our
business strategy and risk management practices," said Mark Myers, Head of
Commercial Real Estate at Wells Fargo. "Many of our existing customers have
loans in this portfolio as well, and we look forward to meeting the needs of
those customers while strengthening our Commercial Real Estate business
through this acquisition."
Morrison & Foerster LLP served as counsel to ING Real Estate Finance in the
transaction, while Dechert LLP served as counsel to Wells Fargo Bank, N.A.
About ING Real Estate Finance
ING Real Estate Finance isone of the leadingcommercial real estate
financierswith a portfolio of over EUR 28 billion. We provide global coverage
toclients from offices throughout Europe and Asia. ING Real Estate Finance is
part of ING Group, a global financial institution of Dutch origin offering
banking, investments, life insurance and retirement services to meet the needs
of a broad customer base. Going forward, we will concentrate on our position
as an international retail, direct and commercial bank, while creating an
optimal base for an independent future for our insurance and investment
SOURCE ING Real Estate Finance
Contact: Christa Segalini, firstname.lastname@example.org, 201-465-8021
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