Scotiabank has purchased ING Bank of Canada, the largest online bank in the nation, in a deal totaling $3.126 billion. The sale, expected to close by December, is anticipated to result in a net investment for Scotia of $1.9 billion, and retail deposits of over $30 billion to the bank’s balance sheet.
ING Direct, Canada’s number one online bank, may be up for sale, a surprising turn of events following news that its Dutch parent company, ING Groep NV may be strapped for funds.
It seems bank credit rating downgrades are the financial headline du jour – and it all kicked off with news of Dutch bank ING Bank of Canada receiving a hit from Moody’s last week. Why are banks the target of such slashings? As usual, European debt crisis is a contributing culprit.