Generali to sell Irish, northern Irish operations to Zurich for 337 million euros

Generali to Sell Irish and Northern Irish Operations to Zurich for €337 Million

Generali's Strategic Divestment of Irish and Northern Irish Operations

Deal Overview and Financial Details

March 9 (Reuters) - Italy's biggest insurer Generali has agreed to sell its Irish and Northern Irish property and casualty (P&C) operations to Zurich's local branches for 337 million euros ($388.7 million) in cash, it said on Monday.

Retention of Excess Capital

Generali Spain will retain 51 million euros of excess capital from the Irish P&C operations, conducted through the RedClick brand.

Regulatory Approvals and Capital Gain

The deal, which is expected to generate a capital gain, is subject to regulatory approvals.

Strategic Rationale and Market Focus

The Trieste-based insurance group added that the deal is in line with its focus on core insurance markets where Generali already holds scale and a leading presence.

Impact on Solvency II Position

Generali flagged in the statement that the transaction will have an around 1% impact on its Solvency II position. Solvency II sets out requirements applicable to insurance companies in the EU to protect policyholders and beneficiaries.

Currency Exchange Rate

($1 = 0.8670 euros)

Reporting Credits

(Reporting by Romolo Tosiani in Gdansk; Editing by Saad Sayeed)