UNIQA will take control of the life and non-life insurance, investment firms, pension funds and service companies of AXA in the region
Italian Headquarters in Milan. (Credit: Wikipedia/Kokky92)
Austrian insurer UNIQA has agreed to acquire France-based insurance firm AXA’s operations in Poland, Czech Republic and Slovakia for €1bn ($1.1bn).
Under the terms of the deal, UNIQA will take control of the life and non-life insurance, investment firms, pension funds and service companies of AXA in Central and Eastern Europe.
UNIQA CEO Andreas Brandstetter said: “We have been aware of the AXA companies for a long time; they are an excellent fit with our long-term strategy.
“Their strong focus on profitable retail business and balanced product mix complement our existing business and make us the number five in the growing Central and Eastern Europe region.”
UNIQA to gain 5 million new customers
The acquisition of AXA operation will enable UNIQA to gain 5 million new customers, 2,100 employees and €800m in premiums. The deal is part of UNIQA’s plan to expand its presence in existing markets.
Employing 1,575 people, AXA Poland provides a range of life and savings (L&S), property and casualty (P&C), pension, and asset management products and solutions to nearly 3.2 million customers.
With 527 employees, AXA Czech Republic and Slovakia offers a product suite of L&S, P&C and Pension solutions to approximately 1.6 million retail customers.
The transaction is expected to be completed by the fourth quarter of this year. The completion of the deal is subject to all necessary regulatory approvals.
AXA CEO Thomas Buberl said: “This transaction marks another step in the simplification of AXA’s footprint, we are convinced that AXA’s operations in Central and Eastern Europe will benefit from UNIQA’s strong presence and local expertise in the region to create new growth opportunities with a continued focus on delivering enhanced customer value propositions.
“I would like to thank the management teams and all the employees of our Polish, Czech and Slovakian operations, for their continuous engagement over the years and wish them all the success for the future.”
For the transaction, UNIQA was advised by HSBC.
Currently, UNIQA has a comprehensive network in 15 markets, where it offers a range of insurance solutions to 6.8 million private and corporate customers.