ING announced late Monday that it has reached an agreement for the sale of its 33.3 percent stake in China Merchants Fund, an investment management joint venture, to its joint venture partners China Merchants Bank Co. Ltd., and China Merchants Securities Co. Ltd.

    Under the terms agreed, ING will receive a total cash consideration of 98 million euros (US$126.72 million). At closing, ING expects the transaction to deliver a net gain of 64 million euros.

    The agreement is part of the previously announced intended divestment of ING’s Asian insurance and investment management businesses. The process for the remaining businesses is ongoing. Further announcements will be made if and when appropriate, the company said.

    China Merchants Fund was established in 2002 and is a joint venture between ING Investment Management, China Merchants Bank and China Merchants Securities. It has a market share of approximately 3 percent in the Chinese mutual funds market.

    The transaction announced Monday, which does not impact any of ING’s other businesses in the region, is subject to regulatory approvals and is expected to close in the second quarter of 2013, ING said.(SD-Agencies)