Aviva sells entire shareholding in Antarius for £425m
Insurer Aviva will sell its entire 50 percent shareholding in Antarius, its life insurance joint venture with Crédit du Nord, to Sogecap for an all-cash deal of approximately £425 million.
Both Sogecap and Crédit du Nord are subsidiaries of France-based Société Générale. Aviva acquired a 50 percent shareholding in Antarius in 2004 in a 12-year distribution agreement to sell life insurance and protection products on an exclusive basis via Crédit du Nord's network. Under the terms of the agreement, Crédit du Nord had an option to purchase Aviva’s shareholding in Antarius, which it exercised in 2015.
The transaction is expected to close on April 1 as all regulatory approvals have been received. The transaction price is approximately £180 million above Aviva’s IFRS book value and further increases Solvency II capital by approximately £200 million.
In addition, Aviva Investors France has entered into a new agreement with Sogecap to continue managing in excess of €10 billion assets held by Antarius.
Mark Wilson, group chief executive officer, Aviva, said: "This is a good deal at an attractive valuation and the sale realises a strong return for our shareholders. We have also agreed a new investment management mandate with Antarius and we look forward to continuing our long and successful partnership with Société Générale."
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