- Allianz to become the fifth largest insurer in Poland and consolidates its leading position in profitability in Central Eastern Europe (CEE)
- Transaction worth 2.5 billion euros
Munich, 26 March 2021 – Allianz today announced it has agreed to purchase the life and non-life insurance operations, as well as pension and asset management business from Aviva Poland and acquire each 51 percent stake in Aviva’s life and non-life bancassurance joint ventures with Santander.
On completion, the transaction, worth 2.5 billion euros, is immediately earnings accretive and comprises a purchase price of 2.7 billion euros and a dividend payment of 0.2 billion euros.
Allianz is set to become #2 in Central Eastern Europe in terms of operating profit and is well on track to become another flagship region for the Allianz Group. In Poland, based on gross written premiums, Allianz is set to become the fifth largest insurer overall and rise to #2 in the life insurance segment.1 Subject to receipt of required regulatory approvals, the transaction is expected to complete within the next 12 months.
This agreement represents an important step for Allianz to accelerate its success story of strong profitability growth in the CEE region and scale up in Poland that is the largest CEE market with 38 million inhabitants and GDP of approximately USD 600 billion.
Through the transaction, Allianz will double its revenues in the attractive Polish insurance market and achieve a well-balanced business mix between property/casualty and life insurance. In particular Aviva’s strong focus on the dynamic and profitable Polish life protection market will significantly enhance Allianz’s operating profitability. In addition, the strong tied agents’ network and the long-term bancassurance joint venture with Santander will bolster Allianz’s distribution footprint and market position.
“We are delighted to further strengthen visibility of the Allianz brand in Central Eastern Europe and pursue our successful growth strategy in the region. By combining our insurance and digital expertise and strong investments in technological innovation, customers will benefit from our innovative products and outstanding services,” said Oliver Bäte, Chief Executive Officer of Allianz SE.
“We are very pleased to enter into this agreement as the acquisition of Aviva’s business will reignite growth in Poland and produce a scale effect in the entire CEE region,” said Klaus-Peter Roehler, Member of the Board of Management of Allianz SE responsible for insurance in German-speaking countries and Central Eastern Europe. “With a customer-first approach to design and distribution, and using innovation and technology as key enablers to deliver customer satisfaction, we see this as a fantastic opportunity to strengthen our footprint.”
Source: www.allianz.com
——
Disclaimer: The content of the above information is sourced (or provided), in entirety or in parts from an external source and the content may or may not be edited. The Wealth Today shall not be held liable for damages arising out of any action taken with respect to the use or consumption of information or service published above or anywhere else on the website. This website does not guarantee the accuracy, views, opinions or any promises expressed in the above news.
If you find any errors or discrepancies in the above information, you can write to us at editor@thewealth.today.
——
