Crédit Agricole Assurances signed an agreement with Seguradoras Unidas to acquire a 25% stake in GNB Seguros. Post closing, Crédit Agricole Assurances would therefore increase its stake from 50% to 75% of GNB Seguros, the remaining 25% stake being held by the Portuguese banking Group Novo Banco. The transaction is subject to approval by Portuguese authorities. This operation confirms Crédit Agricole Assurances's willingness to go on developing its non-life business in Portugal and to reinforce its partnership with Novo Banco. Following the announcement in July 2018 of a partnership in life insurance with the Italian bank Credito Valtellinese, this transaction also confirms Credit Agricole Assurance's strategy to develop partnerships with external banking groups to strengthen its international presence.
From Seguradoras Unidas's perspective, "the sale of the 25% share in GNB Seguros will allow the Company to further focus on its key distribution channel - the Agents and Brokers Networks."
Founded in 1996, GNB Seguros is the 13th non-life insurance player in Portugal with more than €77m gross written premiums at the end of 2017. GNB Seguros' main product lines are home, auto and health insurance. It also provides unemployment (mainly credit linked), repatriation and accident policies. Its products are mainly distributed in Novo Banco's large retail network and, more recently through Credibom, Credit Agricole's portuguese entity for consumer finance.
Crédit Agricole Corporate & Investment Bank acted as the sole financial advisor to Crédit Agricole Assurances on this transaction.
