Aviva PLC said on Friday that it has agreed to sell its entire Aviva Poland shareholders to Allianz SE for 2.5 billion euros ($ 2.94 billion) in cash, in a deal that will complete the refocusing of the insurance package RA.
With Allianz also owning the minority in Aviva Poland held by Banco Santander SA in the life, general insurance and pensions industries, the Polish industry is valued at EUR2.7 billion , Aviva said.
The agreement is expected to close within 12 months, subject to normal closure conditions, including a regulatory agreement and a breach of trust, Aviva said.
The disqualification of Aviva Poland is the insurer ‘s eighth sale of uninsured business in as many months, a process that generated a total of 7.5 billion pounds ($ 10.30 billion) in cash, he said.
The FTSE 100 company said it plans to use more capital and cash to support the previously described capital framework of debt reduction, investment for long-term growth and return of surplus capital to shareholders.
“Our strategic focus is now on our strongest businesses in the UK, Ireland and Canada where we have key market positions and strong growth potential,” said Aviva CEO Amanda Blanc.