Germany-based reinsurance group Hannover Re is in discussions to acquire a minority stake in Lloyds Banking Group’s German arm, Heidelberger Leben, for approximately €100m ($133.5m).
The sale of stake in Heidelberger Leben is part of Lloyds’ plans to exit from international markets.
Confirming the sale discussions in a statement, Hannover Re said, "In view of the fact that negotiations are still ongoing, the company is currently unable to provide any further details in this regard."
Hannover Re also confirmed that its financial investment will be of an indirect nature consisting of a minority interest that will not exceed an amount in the double-digit million euros.
Earlier, a UK newspaper has reported that Hannover Re may pay about €400m for acquiring minority stake in Heidelberger Leben.
Lloyds, which did not officially disclose details related to the sale, struggled to find a suitable buyer for Heidelberger Leben stake for almost two years.
Post-sale, the UK lender, which received a bailout package of $31bn during the financial crisis of 2008, will continue to offer life insurance to German customers through its Clerical Medical brand.
In the recent past, Lloyds sold its Spanish retail banking operations, international private banking business, and $5bn US mortgage book.