Remember when I reported a rumor that Ally Financial (parent company of Ally Bank) was interested in buying ING Direct? Well, that rumor turned out to be wrong. Instead, it was recently revealed that Capital One will be acquiring ING Direct for a reported $9B – with $6.2B in cash, and $2.8B in stock.
This move will make Capital One the 5th biggest bank in terms of US deposits, up from 8th place, and it will also give them a strong presence in the online banking world. It remains to be seen what effect this acquisition will have on existing ING Direct customers.
Will Capital One leave well enough alone? Or will they start tinkering around with ING’s business model? Only time will tell.