Dutch insurance specialist Aegon and financial services provider Bre Bank have entered into exclusive negotiations on a possible merger of their two Polish pensions funds, PTE Ergo Hestia and PTE Skarbiec-Emerytura. The final agreement will be subject to approvals from the Polish Financial Supervision Commission and the Office of Competition and Consumer Protection.
As part of the potential deal, Bre Bank will offer Aegon the opportunity to acquire its shareholding in the merged pension funds. At present, Bre Bank owns 100% of the shares and voting rights in PTE Skarbiec-Emerytura, which manages more than 440,000 accounts.
Negotiations with Bre Bank are part of a broader strategy for the Dutch life and pensions company to expand its presence in the rapidly growing markets of Central and eastern Europe. Currently, Aegon has life and pension operations in four countries in the region, the Czech Republic, Hungary, Poland and Slovakia, and a total of over 1.2 million pension fund members across central and eastern Europe.
Gabor Kepecs, CEO of Aegon CEE commented: We are very pleased to have reached this phase in our discussions with Bre Bank. This transaction would strengthen our overall position in the Polish market and emphasizes Aegon’s focus on the Central and eastern European region, especially in the field of pensions.