Published on 4 Jul 2023 on Zacks via Yahoo Finance
Aegon (AEG) Closes Combination of Dutch Operations With a.s.r
Aegon N.V. AEG recently announced that it has closed the combination deal for its Dutch pension, life and non-life insurance, banking, as well as mortgage origination operations with its peer a.s.r., a Dutch insurance group. Last October, the companies reached an agreement for the transaction.
AEG also started an asset management partnership with a.s.r. The transaction provided Aegon with a 29.99% strategic stake in a.s.r. along with EUR 2.2 billion cash proceeds. The combination is expected to have created the number two insurance company in the country. The move is likely to enable the combined entity to scale its businesses across segments.
Two points were slightly amended from the original relationship agreement addressing the CEO succession event and capital management that can change the risk profile. The merger move is likely to generate significant synergies and benefits for business partners, customers and shareholders. The synergies are expected to support dividend growth from a.s.r.