AXA announced an agreement to acquire Gruppo Nobis, a retail P&C insurance company in Italy with a diverse distribution network, including multi-tied agents and car dealer partnerships. Nobis reported gross written premiums of €0.5bn and a net income of €35mn in 2023.
The acquisition will involve an upfront payment of €423mn, with a potential earn-out of up to €55mn.
This brings the total price-to-earnings multiple to approximately 11x, considering expected synergies. The transaction is expected to impact AXA Group’s Solvency II ratio by -1 point upon closing.
This acquisition aims to diversify AXA’s distribution channels, particularly through long-term agreements with car dealerships in the Nobis network, supporting profitable growth.
Leveraging Nobis’ network, AXA Italy expects to improve its market position in P&C from #5 to #4, gaining about 1 point of market share.
Patrick Cohen, CEO of AXA European Markets & Health, stated that the acquisition would enhance AXA’s position in the Italian P&C market, adding scale and distribution capabilities. AXA Italy and the Nobis management team are committed to making the acquisition a success, fostering growth and innovation.
This acquisition will further strengthen our position in the Italian P&C market, adding scale as well as distribution capabilities to our business. AXA Italy, together with the management team of Nobis, is very motivated to make this acquisition a success, as we are confident that the combination of Nobis with our dynamic Italian business will create both growth and innovation opportunities within our organization.
Patrick Cohen, CEO of AXA European Markets & Health
The transaction is subject to customary closing conditions, including regulatory approvals, and is expected to be completed before mid-2025.
AXA Italy reported1 gross written premiums of Euro 5 bn and underlying earnings of Euro 155 mn in 2023, mainly across Retail P&C and L&S. The company sells its products through a direct channel, wide network of agents and bancassurance partnership.
