Daily Insurance Industry News
Daily Insurance Industry News
Tuesday 17th of July 2018
April 26, 2011

AEGON agrees sale of life reinsurance business

by Gill Montia

Story link: AEGON agrees sale of life reinsurance business

AEGON is selling Transamerica Reinsurance, its life reinsurance business, to global reinsurer, SCOR.

In addition, SCOR will acquire Transamerica International Reinsurance Ireland although under the agreement AEGON will retain businesses with a book value of $0.4 billion, comprising mainly variable annuity guarantee business.

The deal will result in a total after-tax consideration of $1.4 billion, comprising cash proceeds of $0.9 billion with a further $0.5 billion in capital released.

AEGON plans to use $1.1 billion towards repaying state aid provided to the group in 2008.

Commenting on the divestment, chief executive officer, Alex Wynaendts, says: “This transaction is consistent with our focus on AEGON’s core business and supports our aim to complete repayment to the Dutch State by the end of June.”

The transaction is subject to the final approval of the relevant regulatory authorities and is expected to close in the summer of this year.


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