Polish insurer PZU signs deal to acquire MetLife Ukraine

Powszechny Zakład Ubezpieczeń (PZU) has signed a conditional statement to bargain each shares successful MetLife Ukraine, a cardinal subordinate successful Ukraine’s beingness security market.

Financial specifics of the woody stay undisclosed.

The woody would summation PZU Group’s beingness successful cardinal and eastbound Europe (CEE) and enlarge its beingness security concern successful enactment with its determination strategy.

MetLife Ukraine holds apprximately 50% of the marketplace and serves astir 900,000 progressive customers.

Its scope of products includes idiosyncratic and radical beingness cover, arsenic good arsenic health, mishap and worker benefits policies.

The insurer distributes its products done respective channels including brokers, slope partnerships and its ain cause network.

PZU said the transaction fits its program to turn successful CEE, particularly successful countries wherever it already operates.

It described the woody arsenic financially “attractive”.

MetLife Ukraine is said to person a bully superior base, profitability of astir 20% and liquidity that supports dividend payments.

For PZU Ukraine, the acquisition would adhd scale, broaden entree to income channels, and bring merchandise expertise, an established workforce and a ample lawsuit base.

PZU CEO Bogdan Benczak said: "The acquisition of MetLife Ukraine is an important measurement successful implementing our semipermanent strategy to make a strong, planetary security and fiscal radical successful cardinal and eastbound Europe.

“We are investing successful a marketplace person with an experienced squad and a resilient concern exemplary that strengthens our beingness successful Ukraine and importantly increases the standard of our beingness security operations. This determination combines strategical ambitions with beardown concern rationale.”

In June past year, Polish slope Pekao signed a memorandum of knowing with PZU regarding a imaginable merger.

If completed, the transaction would impact PZU archetypal demerging by transferring its operations to a wholly owned subsidiary and becoming a holding company, past merging into Bank Pekao arsenic the acquired entity.

"Polish insurer PZU signs woody to get MetLife Ukraine" was primitively created and published by Life Insurance International, a GlobalData owned brand.

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