The Belgo-Dutch financial services group Fortis announced the sale of its Australian property insurance unit to the U.K.’s CGNU for € 205 million ($379 million) in cash.
Fortis indicated that, while profitable, Fortis Australia Ltd.’s market share was too small, and it no longer fit with the company’s strategy of concentrating its efforts in Europe, and on several niche markets in the U.S.
CGNU, already among the top five general insurers in Australia, will further strengthen its position with the acquisition, and expects to achieve significant cost savings of around A$23 million ($ 11.9 million).
Topics Mergers & Acquisitions Australia
Was this article valuable?
Here are more articles you may enjoy.
Intersecting Risks and the Future of Construction Insurance 
US P/C Rebounds to Post Q1 Underwriting Gain; Net Income Doubles 
A Super Yacht Armada Came to Miami, Leaving a Marine Graveyard in Its Wake 
‘We’ll Want Some Proof’: State Farm CEO’s Take on NY Auto Insurance Reforms 
