Aviva exits from Turkey with £122m sale to Ageas

UK insurer Aviva has agreed to sell its entire shareholding in Turkish joint venture, AvivaSA Emeklilik ve Hayat AS, to Ageas Insurance International for a cash consideration of £122 million.

The news follows the sale of Aviva's French operations to Aéma Groupe for €3.2 billion in cash is part of a strategic transformation to focus on its strongest businesses in the UK, Ireland and Canada.

The insurer is now selling its 40 percent shareholding in life and pensions business in Turkey to Ageas, while its joint venture partner Sabancı Holding will retain its 40 percent shareholding.

The transaction is expected to increase Aviva’s IFRS Net Asset Value and Solvency II surplus by c. £0.1 billion.

The sale is subject to customary closing conditions, including regulatory approval, and is expected to complete in 2021.

In March 2014, Aviva sold its Turkish general insurance business Aviva Sigorta A.Ş to a private equity consortium led by EMF Capital Partners.

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