Australia-based general insurance and reinsurance group QBE Insurance has agreed to acquire a number of its distribution channels. The acquisitions are subject to final due diligence and definitive agreements.
According to the company, the acquisitions involving five separate transactions are anticipated to produce additional net written premium of close to $200 million and incremental insurance profit before tax of around $70 million in 2009.
All the acquisitions are expected to be completed by the end of 2008 and will be funded from existing resources.
Frank O’alloran, CEO of QBE group, said: We are pleased to announce further acquisitions which will both secure and enhance our existing businesses in the US and Australia. In addition to the Insurance Australia Group proposal, we are currently investigating other opportunities to build QBE’s business around the world.