Ageas inks $2.3bn deal to acquire remaining stake in AG Insurance

Insurance institution Ageas has reached an statement to acquisition the remaining 25% involvement successful Belgian subsidiary AG Insurance from BNP Paribas Fortis for €1.9bn ($2.3bn).

The acquisition is intended to enactment Ageas’ Elevate27 strategy by prioritising its enlargement successful consolidated and cash-producing areas.

With this transaction, Ageas volition clasp each shares of AG Insurance, giving it implicit ownership.

This improvement allows Ageas to run arsenic a afloat integrated insurer successful Belgium, progressive successful some beingness and non-life sectors.

The statement besides includes a renewed bancassurance concern betwixt Ageas and BNP Paribas, confirming BNP Paribas arsenic the main shareholder and spouse of Ageas.

Ageas CEO Hans De Cuyper said: "I americium pleased to denote this caller important milestone for Ageas and different important measurement successful implementing our Elevate27 strategy.

“Taking afloat ownership of AG Insurance enables america to further beforehand our Belgian operations, gathering connected the re-confirmed bancassurance concern with our long-standing partner, BNP Paribas Fortis."

Under the caller agreement, BNP Paribas Group’s holding successful Ageas is capped astatine conscionable nether 25%, with the enactment to widen the statement automatically aft 5 years.

BNP Paribas volition person the close to nominate 1 subordinate to the Board of Directors of some Ageas and AG Insurance, linked to the bancassurance partnership.

The committee practice is taxable to the presumption of their ongoing cooperative agreements.

For financing, Ageas plans to usage a premix of sources: an equity placement involving 18.5 cardinal shares astatine €60 per stock issued to BNP Paribas Cardif, on with existing cash, existent recognition facilities and indebtedness marketplace options.

BNP Paribas Cardif’s superior publication done this equity placement amounts to €1.1bn.

Upon completion, BNP Paribas Cardif’s shareholding successful Ageas is expected to summation from 14.9% to 22.5%.

This follows Ageas’ acquisition of the Esure Group earlier this year.

AG Insurance and BNP Paribas Fortis person extended their bancassurance practice for different 15 years, starting successful 2027.

In addition, AG Insurance and BNP Paribas Asset Management are acceptable to heighten their narration successful concern absorption crossed specified plus classes, pursuing caller changes astatine AXA IM.

Completion of this transaction is taxable to regulatory support and acceptable for the 2nd 4th of 2026.

BNP Paribas CEO Jean-Laurent Bonnafé said: “We spot important imaginable successful the maturation prospects of BNP Paribas Fortis’ bancassurance concern done the concern with AG Insurance, arsenic good arsenic the deployment of our caller plus absorption platform’s expertise created done the operation of BNP Paribas AM and AXA-IM.