Insurer RSA has sold its minority stake in Indian insurer Royal Sundaram Alliance Insurance Company to Sundaram Finance, its joint venture partner.
RSA expects to receive cash consideration of approximately £46 million for the 26 percent holding. The transaction is expected to result in a gain on sale of approximately £16 million and an addition to the group’s tangible net assets of approximately £19 million. Completion is expected within six months.
Stephen Hester, RSA group chief executive, said: “This transaction continues the excellent momentum of our disposal programme and represents further progress in tightening the strategic focus of the group.”