Ageas’ Acquisition of 40% Stake in AvivaSA
Ageas signed an agreement with Aviva plc to acquire its 40% stake in the Turkish listed life insurance and pensions company AvivaSA for a total consideration of GBP 122 million (TL 1.2 billion) or circa EUR 142 million.
AvivaSA is the fifth largest life insurance company by gross written premiums and the leading private pension provider in Turkey. It offers pension, protection and savings products to over 2 million customers through bancassurance, tied agents and a direct sales force. Founded in 2007, AvivaSA is listed on Borsa Istanbul with a market capitalisation of TL 3.4 billion as of 22 February (EUR 401 million). The company is currently owned 40% by Aviva plc, 40% by Sabanci Holding and 20% is free float.
The investment in AvivaSA fits Ageas’s strategy to expand in regions in which it is already present and provides the opportunity to tap into low-penetrated and high-growth markets such as the Turkish Life insurance market, which has been growing at 28% per year in the 2014-2019 period. It also allows Ageas to broaden the collaboration with Sabanci Holding, its partner in the Non-Life joint venture AKSigorta.