Unipol Financial Group, an Italian banking and insurance services provider, is engaged into exclusive negotiations with Allianz SpA, a unit of German insurer Allianz, to dispose of certain insurance assets carrying premiums worth approximately €1.2bn ($1.63bn).

Unipol

In a statement, Unipol said, "The boards of directors of the company as well as its operating unit UnipolSai Assicurazioni SPA analyzed the proposal submitted by Allianz S.p.A on January 14 for the acquisition of some insurance assets of the former Fondiaria unit Milano Assicurazioni.

"The object of the proposal includes a distribution network of approximately 800 agents, the relative portfolio in property and casualty (worth around 1.2 billion euro – data as 2012) and employees dedicated to manage this portfolio (500 people)."

The decision to divest former Fondiaria unit Milano Assicurazioni, which is currently a part of UnipolSai, is expected to be taken with Allianz by 15 March 2014.

Previously, Unipol discarded the acquisition proposal submitted by the Belgium’s Ageas for the assets.

If the planned acquisition materializes, it will further strengthen Allianz footprint in Italy, where it already has a strong presence.

Image: Unipol Tower, the headquarters of Unipol Bank in Bologna, Italy. Photo courtesy of Kalel77.