CNP Assurances has entered into an exclusive long-term distribution agreement with Santander Consumer Finance (Banco Santander Group) and has agreed to acquire a 51 percent stake in Santander Consumer Finance's life and non-life insurance subsidiaries.
The partnership includes all the life risk insurance products; payment protection insurance (PPI) will be developed in priority.
It covers a perimeter of 10 European countries: Germany, Poland, Italy, Spain, Austria, Portugal, Norway, Sweden, Denmark and Finland.
CNP said that by combining its expertise in personal insurance with Santander Consumer Finance’s proven distribution capabilities, this operation will create value for both groups and will allow Santander Consumer Finance’s 12 million clients to benefit from an enriched offering.
Consideration for the transaction amounts to €290 million and is expected to close by the end of 2014.
“This agreement marks a key step in the implementation of our strategic priorities in Europe. With Banco Santander, Europe’s first retail bank, we create a partnership fulfilling CNP Assurances’ ambitions.” said CNP Assurances’ chief executive officer (CEO) Frédéric Lavenir.
Javier Marin, CEO of Banco Santander, said: “We are confident that through CNP Assurances' expertise and our distribution capabilities, this partnership will create value for both of us.”
CNP Assurances, Santander Consumer Finance, Europe