MBK’s ING sales on hold amid political tension

[THE INVESTOR] MBK Partners’ US$3 billion scheme to sell off ING Life Korea has been stifled, as Chinese bidders are currently unable to proceed with a deal, according to a Bloomberg report on Aug. 26.

The new outlet reported that Chinese bidders including JD Capital and China Taiping Insurance Holdings are awaiting the nod of approval from their government as Beijing is considering suspending some acquisitions in South Korea to pressure the government not to deploy the Terminal High Altitude Area Defense missile battery in partnership with the US. 

But MBK Partners, the nation's largest private equity fund, denied the report, saying the talks are still ongoing with multiple bidders.

The firm put ING Life Korea, the fifth-largest Korean life insurer, on sale and has already extended the deadline for the final bid due to political tensions between the two countries.

The private equity firm purchased the Korean unit from the Dutch insurer for US$1.6 billion in 2013.

By Hwang You-mee (glamazon@heraldcorp.com)