WRAPUP 2-ING investors cheer Dutch government cash

(Adds shares, analyst comment)

By Gilbert Kreijger and Faith Hung

AMSTERDAM/TAIPEI, Oct 20 (Reuters) - Investors in financial group ING (ING.AS) cheered a 10 billion euro ($13.5 billion) Dutch government cash injection and a disposal on Monday, with shares recovering much of their hefty losses from the previous session.

Shares in the Netherlands' biggest listed bank jumped 23 percent to 9.03 euros in early trade as analysts said the government cash took away fears of a highly dilutive share issue and created a buffer to weather the credit crisis.

After a weekend of intense negotiations, ING became the latest European bank to seek government help to shore up its core capital and restore investor confidence following the partial nationalisation of rival Fortis (FOR.BR) two weeks ago. [nLJ78025] [nLJ112794]

ING has also agreed to sell its Taiwan life insurance unit to Fubon Financial (2881.TW) for $600 million, it said on Monday. [nTPU000762]

"We are in a large financial storm, and the storm has been building in recent weeks. We wanted to make sure we had a buffer, a buffer large enough to carry us through the storm," ING Chief Financial Officer John Hele told CNBC.

"Our shareholders and customers, all our stakeholders don't have to worry about ING group."