Genworth Financial International and Brookfield Life Assurance Company together have entered into an underwriting agreement to sell 92.3 million shares for A$3.08 per share in Genworth Mortgage Insurance Australia.
Genworth highlighted that the sale represents around 14.2% of Genworth Australia’s share capital, which is being conducted through fully underwritten sell down to equity market investors.
Brookfield Life Assurance Company Limited and Genworth Financial International will be left with 52.0% stake in Genworth Australia on completion of the transaction.
Genworth Financial president Tom McInerney said: "The sale today represents an important step toward the execution of our strategic initiative to increase the financial flexibility and strength of Genworth.
"This transaction advances Genworth’s ability to support compliance with the Private Mortgage Insurer Eligibility Requirements and reduce debt levels."