Assicurazioni Generali SpA is planning to sell a roughly €20 billion ($21 billion) Italian Life Insurance portfolio as part of a plan to improve profitability, people familiar with the matter said.

The Italian insurer, which has been working with an adviser to review the portfolio, may start a sale process as soon as January, the people said, asking to not be identified discussing confidential information.

The sale includes legacy policies from Societa Cattolica di Assicurazioni, a smaller rival that Generali bought last year, and Genertel, according to the people. It is unclear how much the portfolio would fetch in a sale.

Deliberations are ongoing and no final decisions on the size or timing of any deal have been taken, they said. A representative for Generali declined to comment.

The market for back books, or portfolios of old insurance policies, has been an active area of dealmaking as it provides a way for insurers to free up capital. Generali is among those that have been cutting exposure to life products.

A year ago, Generali’s Chief Executive Officer Philippe Donnet outlined plans to return as much as €5.6 billion in dividends to shareholders by 2024, as well as expand in non-Life Insurance asset management.

Photograph: An Assicurazioni Generali SpA logo sits above an entrance to its offices in Rome, Italy, on Friday, Jan. 27, 2017. Photo credit: Alessia Pierdomenico/Bloomberg

Copyright 2022 Bloomberg.

Topics
Profit Loss
Generali Life Assurance (Thailand) Plc.

Was this article valuable?


Here are more articles you may enjoy.

Interested in Profit Loss?

Get automatic alerts for this topic.

Leave a Reply

Your email address will not be published. Required fields are marked *