La Mutuelle Epargne Retraite Prévoyance Carac (Carac) is buying the French life insurance businesses of Belgium-headquartered group Ageas.

The companies being sold are Ageas France, Ageas Retraite, Ageas Patrimoine, and Sicavonline. As reported by Insurance Business in March, exclusive talks were initiated with Carac at the time in relation to the proposed disposal.

Now, as announced by Ageas, a sale agreement with Carac has been signed. Financial terms of the deal were not disclosed.

Ageas, however, noted: “This divestment is estimated to have a positive impact on the group’s Solvency II of 9% based on the position as at the end of 2022. The transaction will increase the liquidity of the group by approximately €185 million.”

The move is part of Ageas’s strategy to streamline its portfolio in Europe.

Earlier this year, the group reported a net result of €1.01 billion for 2022. The figure represented an improvement from the €845 million posted in 2021.