International insurance group Ageas has announced the sale of its French life insurance, savings, and pension business to La Mutuelle Epargne Retraite Prévoyance Carac (Carac), following consultation with employee representatives.
The divestment includes Ageas France, Ageas Retraite, Ageas Patrimoine, and Sicavonline, with a consolidated perimeter representing IFRS technical provisions of EUR3.9 billion and an IFRS net profit of EUR6.1 million as of the end of 2022.
Carac is a mutual operating in the domain of savings, protection, and pension business in France. The transaction is estimated to have a positive impact on Ageas’s Solvency IIageas of 9% based on the position as of the end of 2022, and it will increase the Group’s liquidity by approximately EUR 185 million.
The disposal aligns with Ageas’s strategy to streamline its European portfolio and concentrate on its core markets in the region.
As one of Europe’s larger insurance companies, Ageas offers life and non-life insurance products to its retail and business customers.
It concentrates its activities in Europe and Asia, which together make up the major part of the global insurance market. Ageas operates successful insurance businesses in Belgium, the UK, France, Portugal, Turkey, China, Malaysia, India, Thailand, Vietnam, Laos, Cambodia, Singapore, and the Philippines through wholly owned subsidiaries and long-term partnerships with strong financial institutions and key distributors.
The Group ranks among the market leaders in the countries in which it operates, with a staff force of about 44,000 people and reported annual inflows of more than EUR 16 billion in 2022.
The transaction is subject to regulatory approval and is expected to be closed during Q3 2023. By divesting its French life insurance, savings, and pension business, Ageas aims to concentrate on its core markets and streamline its European portfolio.
The sale of this business will also provide the Group with greater liquidity and enhance its Solvency IIageas position, allowing it to better serve its customers and stakeholders. – InsuranceNewsAsia.com