Aviva to sell Vietnam unit to ManuLife

Reuters | Carolyn Cohn Tuesday | 12/15/2020 10:53

FILE PHOTO: An Aviva logo sits on the window of the company head office in the city of London, Britain March 7, 2019. REUTERS/Simon Dawson/File Photo

British insurer Aviva is to sell its Vietnamese business to Canadian insurer ManuLife it said on Monday, as it pushes ahead with plans to pull out from its non-core markets.

Aviva, under new boss Amanda Blanc, is looking to sell its businesses in continental Europe and Asia, to focus on Britain, Ireland and Canada.

Years of share price underperformance in the life and general insurer have irked investors.

Aviva did not give a price for the cash sale of the Vietnamese life insurance business, but said the deal would increase its net asset value and Solvency II surplus by around 100 million pounds ($133.67 million).

ManuLife said in a separate statement it had agreed a 16-year bancassurance partnership with VietinBank, and was buying Aviva Vietnam as part of the deal.

Aviva sold a majority holding in its Singapore business in September and last week completed the sale of its Hong Kong joint venture.

In Europe, French mutual insurer Macif is stepping up efforts to buy Aviva France, Reuters reported last week.

Aviva is also looking to sell businesses in Italy and Poland, and joint ventures in Turkey, China and India.

It sold its stake in Italian life insurer Aviva Vita to joint venture partner UBI Banca last month.

Aviva’s shares were up 2% at 0816 GMT.

Source: Reuters