Legal & General (L&G) is reportedly in “advanced” discussions to sell its Netherlands division to the parent company of insurer Countrywide Assured.
 
Life and pensions consolidator Chesnara is expected to pay about £130 million to acquire L&G’s Dutch arm, Sky News reported, citing sources familiar with the matter.
 
According to the report, the L&G board has designated the Dutch business as non-essential as it accounts for just a small fraction of the industry giant.
 
The potential sale is expected to be announced later this week, Sky News noted, and continues L&G chief executive Nigel Wilson’s strategy of cutting back the insurer’s European operations.
 
On the other hand, for Chesnara, the acquisition is seen as a significant boost to the expansion of the company’s operations in the Netherlands.
 
Chesnara is expected to seek new capital from investors to fund the acquisition, according to Sky News.
 
The deal between L&G and Chesnara follows a number of deals in recent months involving major insurance companies in Europe, including Aegon and AXA.
 
 
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