Aegon sells Guardian to Cinven for Â£275 mn
Dutch insurer Aegon said Tuesday it was selling its British life insurance and pension unit Guardian to private equity group Cinven for £275 million (312 million euros, $449 million) as part of its efforts to focus on core businesses.
"AEGON has decided to sell its UK-based Guardian life and pension business for a total cash consideration of GBP 275 million to Cinven," it said in a statement.
It said it expects the transaction, subject to regulatory approval, to close in the final quarter of this year.
"Consistent with actions over the past three years to dispose of, or run-off, certain businesses deemed non-core, AEGON has concluded that managing the closed business of Guardian companies no longer fits with our strategic objectives," said AEGON chief financial officer Jan Nooitgedagt.
Guardian, which manages over 300,000 life insurance policies in Britain with 170 employees, has been closed to new business since 2001.
AEGON asset management unit has entered into a long-term agreement with Cinven and will continue to manage the assets of Guardian which total £7.4 billion, it said.
© 2011 AFP