Ageas has completed the sale of its 100 per cent shareholding in Ageas Protect Limited to AIG for a total consideration of £197m, considerably more than the £181m expected.
Ageas said the higher amount than the £181m announced in August, follows “completion adjustments” including the incorporation of a subordinated debt of £15m and interest on the consideration.
The transaction has now been approved by the regulator.
Ageas UK is primarily a non-life business, with around 9m customers mostly in the general insurance market, with the company stating that its focus is to continue to develop this side of the business.
Ageas Protect was launched in the UK in July 2008 and now has over a 5 per cent market share in the UK protection market. It employs over 220 people in London, Reigate and home-based workers.
Andy Watson, chief executive of Ageas UK, said: “As we continue to focus on our non-life business where we have considerable scale and hold significant market positions, we wish the Protect business well for the future, confident that their employees are going to a good home.”
When the deal was announced in the firm’s half year results, Darren Spriggs, managing director of Ageas Protect, stated: “AIG don’t have something like this in the UK and they see this as an important market to re-establish themselves in.”
peter.walker@ft.com
