Aviva plc has announced expectations to receive an additional £80 million (approximately SGD 100 million) from the sale of its shares in Singapore Life Holdings Pte Ltd (Singlife).
This sum is a result of a new deal in which Sumitomo Life Insurance Company will purchase the equity stake held by TPG in Singlife.
The transaction, subject to closing conditions and regulatory approval, is with Abbey Life Holdings Ltd, owned by TPG Inc.
The receipt of these additional proceeds by Aviva is contingent upon the successful completion of the transaction between Sumitomo Life and TPG.
The total proceeds Aviva anticipates from this disposal, including the recent development, is approximately £930 million (SGD 1.6 billion).
Aviva plans to integrate these proceeds into its existing capital management framework.
This framework allows for the utilization of surplus capital in various ways, including reinvestment in the business, potential bolt-on mergers and acquisitions (M&A), or providing additional returns to shareholders.
The initial announcement regarding the sale of Aviva’s stake in Singlife, inclusive of two debt instruments, was made on September 13, 2023.
This transaction is subject to standard closing conditions, including regulatory approvals, and is expected to be completed in the first quarter of 2024.
Aviva plc is a leading British multinational insurance company with a significant global presence. Headquartered in London, Aviva has a rich history dating back to 1696, making it one of the oldest insurance companies in existence. It operates primarily in Europe, Canada, and Asia, with around 31,000 employees and approximately 18 million customers worldwide.
The company’s core operations encompass general and life insurance, long-term savings products, and fund management services.
Aviva offers a diverse range of products including life and savings plans, pension plans, long-term health and accident insurance, and annuity plans. They also provide insurance products for property and liability, medical expenses, motor vehicles, and professional indemnity liability.
As of 2023, Aviva’s financial status remains robust with a market capitalization of around $15 billion. The company’s leadership has seen changes over the years, with Amanda Blanc currently serving as the CEO.
Aviva continues to innovate and adapt to changing market conditions and customer needs. Its focus on sustainability, customer service, and innovation makes it a significant player in the global insurance and financial services industry.