Assicurazioni Generali SpA announced the closing of the sale of its entire stake in Generali Belgium SA to Athora Holding Ltd. for approximately €540 million ($618.9 million).
The deal was first announced on April 18, 2018.
The company will be rebranded to Athora Belgium prior to the end of the second quarter of 2019, according to Athora, which describes itself as a Bermuda-based insurance and reinsurance group that aims to be a “leading specialist solutions provider for the European insurance market.” The company has insurance subsidiaries in Germany and Ireland and a reinsurance subsidiary in Bermuda.
“The completion of this transaction is another milestone in our journey to create a leading European long-term insurance and reinsurance business,” said Athora Group Managing Partner Michele Bareggi.
“Athora now has a stable, efficient and scalable platform to serve our operations in Belgium and to drive growth. The Belgian market offers opportunities for Athora to continue to develop the company’s retail insurance business and we are looking forward to building on Generali Belgium’s 117 years of invaluable history and experience,” added Bareggi.
Generali said the transaction is part of the group’s overall strategy to optimize its geographical footprint and to improve its operational efficiency and capital allocation.
“With the arrival of Athora, we are entering into a new chapter in the company’s long history in Belgium and it is important that Athora provides continuity for our broker partners and customers,” commented Dorsan van Hecke, Generali Belgium’s Interim CEO, in a statement issued by Athora.
“We have strong ambitions for our business lines, and we will continue to invest in our relationship with brokers so that they have the tools to offer competitive products and services to customers. The company remains a Belgian regulated entity and its insurance policies will stay in Belgium,” van Hecke continued.
“In addition to growing the Generali Belgium business, we plan to deploy substantial capital over the next few years in Benelux and are actively looking at growth in the region,” stated Eric Viet, Athora’s head of Benelux.
“Athora’s shareholder base is comprised of 26 high-quality, long-term minded global investors that share our vision for building a market-leading insurance and reinsurance business which offers acquisition, portfolio transfer and reinsurance solutions to insurers. We have a long-term interest in the Belgian market beyond a single transaction,” noted Viet.
After adjusting for the Generali Belgium acquisition, Athora said it has approximately €15 billion ($17.2 billion) of consolidated assets, roughly 800,000 policyholders, and nearly 800 employees across five jurisdictions.
After the sale of Generali Belgium, Generali said it will remain present in the country, continuing to provide its Global Business Lines and Europ Assistance insurance and assistance solutions.
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