Industrial Alliance Insurance and Financial Services, a Canada-based life and health insurance company, has signed an agreements acquire three Quebec-based creditor insurance and car warranty companies.
The companies to be acquired include Protection VAG, Communications & References Multi Assurance Direct(MAD) and Produits recreatifs Acces.
The three companies collectively distribute creditor insurance and replacement warranty products through a network of new and used car dealers in Quebec.
Industrial Alliance said that the acquisition is in line with the its strategy to become a full-service provider of after-sales products to car dealers.
The company said that the transaction which is being financed from cash on hand, is expected to have neutral effect on earnings per share in 2011, with no impact on the solvency ratio.
Alliance Insurance and Financial Services offers a range of life and health insurance products, savings and retirement plans, RRSPs, mutual and segregated funds, securities, auto and home insurance, mortgage loans and other financial products and services.