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ING U.S. files for public stock offering

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ING U.S. Inc. has filed a statement with the SEC regarding a potential public offering of common stock currently held by ING Group. The move follows the company’s initial public offering (IPO) in May, in which it raised $600 million.

According to ING U.S., the company will not be issuing or selling common stock in this latest offering nor will it receive any proceeds.

Now in the process of rebranding as Voya Financial, a retirement, investment and insurance company, ING U.S. was previously the domestic subsidiary of Netherlands-based ING Group. ING U.S.’s IPO and changeover to Voya Financial was set in motion when an agreement was struck between ING Group and the European Commission in 2009 to have ING Group focus on banking and divest itself of insurance operations after a $12.71 billion cash infusion from the Dutch government.

According to the SEC registration statement, the proposed maximum aggregate offering price is $1 million. As of Sept. 12, the stock traded on New York State Exchange at $30.20 per share.

According to the company, this latest offering will be conducted at a later unspecified date. Further, the underwriters have agreed to waive the previous lock-up agreement by ING Group to not offer or sell its shares of ING U.S. for a 180-day period following ING U.S.’s IPO on May 1.

Among the products ING U.S. offers are IRAs, fixed indexed annuities, life insurance and employer-sponsored retirement plans. In 2009, ING Group closed its variable annuity business.

CANNEX, an independent provider of data and information services to the financial services industry in the U.S. and Canada, has entered into an agreement to acquire QWeMA (Quantitative Wealth Management Analytics) Group Inc. QWeMA, which provides consulting services and educational software for the financial services and retirement industry, was founded in 2005 by noted annuity expert, Moshe A. Milevsky, who serves as a professor at York University in Toronto. As part of the agreement, Milevsky joins the CANNEX board and will oversee scientific research activities. No acquisition price was revealed in the company statement.

According to a company statement, CANNEX will form a new business unit dedicated to research and development as well as the continued maintenance and servicing of QWeMA’s existing product allocation (PrARI) and analytical (NUMERICS) software tools. The new business unit will retain the name, QWeMA, and will be led by Faisal Habib, who previously served as COO of QWeMA.

The addition of QWeMA contributes to the launch of three CANNEX initiatives it contends will benefit the company’s main constituencies: product manufacturers, advisors/distributors, and consumers/media thusly:

  • Product allocation services will provide models for the allocation of insurance, annuity and investment products in order to maintain sustainable cash flows for retirement income. These tools will provide guidance on optimal spending rates and annuity product choices.
  • Valuation services will provide models and consulting to help answer questions such as: “What is my annuity policy worth?” or “Should I turn on my annuity’s living benefit?”
  • Historical data and payout indices to support annuity research, product development and personal finance reporting and education.

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