Milan, April 10, 2017 – Gruppo Flavia, the Italian group pursuing a consolidation strategy of the Italian life insurance industry today announces the signing of an agreement with JC Flowers to acquire Eurovita Assicurazioni (“Eurovita”), a leading Italian insurance company specialised in bancassurance. Gruppo Flavia is owned by international private equity firm Cinven.
The transaction follows the acquisition of Old Mutual Wealth Italy completed in January 2017 as well through ERGO Previdenza and represents a new, crucial step in the strategy implemented by Gruppo Flavia to become a leader in the life insurance industry in Italy, both through organic growth and acquisitions.
Eurovita Assicurazioni, founded in 1990 by Istituto di Credito delle Casse di Risparmio Italiane (ICCRI) along with AXA and other Casse di Risparmio, was acquired by the private equity fund JC Flowers in 2014. Eurovita is one of the top 20 Italian life insurers in terms of premiums. In 2016, the Company collected premiums for over €1.2 billion, with gross reserves of €5.4 billion and € 19 million of net profits. Eurovita’s distribution focuses on traditional life insurance policies, through a network of nearly 50 local banks with over 1,700 bank branches.
Together, the three companies – namely ERGO Previdenza, Old Mutual Wealth Italy and Eurovita – rank among the top 10 life insurers in Italy, with over €2.5 billion premiums and €17 billion gross reserves in 2015. The combined Group can count on over 150 agents, more than 11,000 financial advisers, and over 2,500 bank branches.
As a result of the acquisition of Eurovita, Gruppo Flavia will be able to widen its product range and implement relevant synergies in terms of operations, distribution networks and capital.
Erik Stattin, Group CEO, commented: “We are very pleased with the acquisition of Eurovita. This is an important transaction for the business, consolidating our presence in the Italian market and creating a sizable Group, which is both solid and well-diversified in terms of distribution channels and products.”
Eugenio Preve, Senior Principal of Cinven, said: “In less than one year we have successfully completed a number of key transactions to strategically refocus the group. The acquisition of Eurovita, announced a few months after the completion of the acquisition of Old Mutual Wealth Italy, represents the next step in the growth and consolidation strategy we designed with the objective to become a leader in the life insurance industry.”
The value of this transaction was not disclosed.
The completion of the transaction is subject to the customary authorisation by the Italian insurance supervisor, IVASS (Istituto per la Vigilanza sulle Assicurazioni).