Aviva PLC (AV.LN) said Tuesday that it has reached an agreement to buy Ireland-based insurer Friends First Life Assurance Company Dac for 130 million euros ($151.5 million).
Aviva said that the acquisition will raise its share of Ireland's life insurance market to 15% and make it one of the largest composite insurers in the country. It also commands a 15% share of the general insurance sector.
Continue Reading Below
The company expects that the transaction will meet the its minimum operating rate of return from year one and from then on, significantly exceed it.
Friends First is currently owned by Dutch insurer Achmea Holding NV and has been operating in Ireland for more than 180 years, Aviva said, adding that its new acquisition has more 250,000 customers, a market share of 6% and is a leader in group risk and income protection.
Write to Oliver Griffin at firstname.lastname@example.org
(END) Dow Jones Newswires
November 14, 2017 03:04 ET (08:04 GMT)