Aviva U.S. unit fetches $800 million more than deal price

Reuters

(Reuters) - British insurance group Aviva Plc (LSE:AV.) on Tuesday said the sale of its U.S. life and annuities business to Athene Holding Ltd had fetched $2.6 billion (1.6 billion pounds), above the $1.8 billion price announced in December.

The additional $800 million represented estimated earnings and other improvements in statutory surplus from June 30, 2012 to September 30, 2013, the company said.

Cash proceeds to Aviva totalled $2.3 billion, following the repayment of an external loan of Aviva USA Corp.

The insurer in December 2012 said it had agreed on a deal to sell its U.S. operations to Athene Holding, an insurance holding company majority owned by private equity firm Apollo.

(Reporting by Karen Rebelo in Bangalore)

View Comments (0)