Zurich Closes Turkish Deal; To Acquire 50% Stake in Spain’s Can Soluciones

Zurich Financial Services Group said it has completed the acquisition of 100 percent of Turkish general insurer TEB Sigorta A.S. from TEB Mali Yatirimlar A.S. (See IJ web site – https://www.insurancejournal.com/news/international/2008/01/24/86671.htm).

In a separate bulletin Zurich said its subsidiary Zurich Spain has signed an agreement to acquire 50 percent of Can Soluciones Integrales S.A. (Can Soluciones) from Caja de Ahorros y Monte de Piedad de Navarra (Caja Navarra).

“TEB Sigorta is one of the fastest growing and most profitable general insurance companies in Turkey with a strong focus on banc-assurance,” said the announcement. “After having announced this transaction on January 24, 2008, Zurich has now received all necessary regulatory approvals.”

Zurich said it has agreed to pay approximately $71 million initially to Caja Navarra, “plus an earn-out component of up to approximately $63 million depending on the future performance of Can Soluciones.”

Zurich also noted that as part of the agreement, “the jointly owned company will enter into an exclusive agreement with Caja Navarra for the distribution of general insurance products. This acquisition reflects the strategy of Zurich’s business division Europe General Insurance to further expand its footprint in Spain.”

Source: Zurich Financial Services – www.zurich.com