|Bid||362.20 x 0|
|Ask||362.10 x 0|
|Day's Range||361.40 - 366.60|
|52 Week Range||3.87 - 498.50|
|Beta (3Y Monthly)||1.06|
|PE Ratio (TTM)||6.21|
|Forward Dividend & Yield||0.30 (8.34%)|
|1y Target Est||N/A|
Jul.23 -- Aviva Investors CIO, Peter Fitzgerald explains his strategy for investment during Brexit, while Boris Johnson is sworn in as new U.K. Prime Minister. He speaks with Caroline Hyde and Scarlet Fu on "Bloomberg Markets: The Close."
(Bloomberg) -- HSBC Holdings Plc, the bank that shook up its senior leadership this month, is considering a bid for Asian operations being sold by Aviva Plc as it seeks ways to diversify its business in the region, people with knowledge of the matter said.London-based HSBC is in the early stages of weighing an offer for at least part of Aviva’s Asian business, the people said, asking not to be identified because the information is private. A deal would help HSBC bolster its insurance presence in Singapore and other parts of Southeast Asia, the people said.Aviva, the U.K. insurance conglomerate whose shares have dropped 27% in the last 12 months, confirmed in August it’s examining options for its Asian business as new Chief Executive Officer Maurice Tulloch’s turnaround takes shape. The company’s operations in the region could be valued at about $3 billion to $4 billion, with an official process slated to kick off later this year, Bloomberg News reported earlier.Other suitors are also considering bids for the Aviva assets, the people said. No final decisions have been made, and there’s no certainty the deliberations will result in a transaction, the people said. Representatives for HSBC and Aviva declined to comment.Shares of HSBC fell 0.6% as of 2:01 p.m. in Hong Kong on Thursday, while they rose 0.2% to 598.30 pence in London on Wednesday. Aviva’s American depositary receipts rose 2.1% in New York over-the-counter trading. The company’s London-listed shares rose 0.1% to close at 358.50 pence.Earlier in August, HSBC abruptly ousted Chief Executive Officer John Flint after just 18 months. Chairman Mark Tucker was increasingly at odds with Flint over the CEO’s focus on expansion in China, people with knowledge of the matter said at the time. The head of HSBC’s China business resigned the same week, and the bank unveiled a new round of job cuts that could eliminate 4,000 roles.Hong Kong, where HSBC generates more than half of its pretax profit, has for weeks been roiled in protests that have left the business and financial elite increasingly concerned about the city’s growth prospects. The bank’s presence in the rival Asian hub of Singapore is smaller than some international competitors such as Standard Chartered Plc.Aviva has been capitalizing on the surging ranks of middle class consumers in Asia, many of whom are newcomers to life insurance policies. Singapore is the company’s largest market in Asia, with its life insurance unit there generating 1.3 billion pounds ($1.6 billion) in new business and 141 million pounds in adjusted operating profit last year, according to its latest annual report.What Bloomberg Intelligence Says“Aviva’s Singapore business will be front and center as it mulls its Asian segments, including the option to sell them. The insurer may be inclined to sell its Asia units as a package, as smaller units may have less M&A appeal without the dominant Singapore segment. For suitors, there should be strong consolidation interest in Singapore. Regional peers such as Singapore-based FWD and Japanese insurers might also consider Aviva’s units in China, India, Indonesia and Vietnam.”\-- Steven Lam, insurance analyst\--Click here for the research(Updates to add Bloomberg Intelliegence report.)\--With assistance from Will Hadfield, Dominic Lau, Manuel Baigorri and Stefania Spezzati.To contact the reporters on this story: Dinesh Nair in London at firstname.lastname@example.org;Ambereen Choudhury in London at email@example.com;Jan-Henrik Förster in Zurich at firstname.lastname@example.orgTo contact the editors responsible for this story: Aaron Kirchfeld at email@example.com, ;Sree Vidya Bhaktavatsalam at firstname.lastname@example.org, Ben Scent, Amy ThomsonFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Britain's second largest insurer Aviva reported a forecast-beating 1% rise in first-half operating profit on Thursday, helped by a strong performance in its general business and announced a review of its Asian operations. In his first interim results since being appointed chief executive in March, Maurice Tulloch confirmed he was rethinking the company's Asian businesses, the latest move to restructure after announcing a series of changes in June. "I am working with the board to refresh Aviva's strategy and we have decided to review the strategic options for our Asian businesses," he said, adding there were a range of possibilities under consideration.
(Bloomberg) -- Aviva Plc confirmed it’s examining options for its Asian business as new Chief Executive Officer Maurice Tulloch’s turnaround of the U.K.’s only insurance conglomerate takes shape.The firm confirmed earlier reports on the Asian unit, while giving no further detail as part of its half-year earnings. Bloomberg News reported earlier this month that the assets could be valued at about $3 billion to $4 billion.“Our review will garner whether our current strategy and ownership structure is optimal and helping our businesses to reach their full potential,” Tulloch said on a call. The CEO said he would unveil his plans for Aviva’s international business at an investor day in November.The shares rose as much as 2.4% in London trading, the most in a month, and were up about 1.3% to 387 pence at 9:08 a.m. in London.Operating profit climbed 1% to 1.45 billion pounds ($1.76 billion) in the first half of 2019, according to a statement on Thursday, slightly ahead of a company-compiled consensus forecast.Tulloch, who took over in March, is seeking to turn around Aviva after years of stagnation. The shares have slumped more than 30% since the firm bought Friends Life Group Ltd. in 2015, a deal that increased the company’s share of the pensions market but added complexity to the group.The firm’s asset management business, Aviva Investors, saw net outflows of almost 5 billion pounds in the first half, reflecting a sluggish start to the year for money managers across Europe, despite a rebound in markets. The unit now manages 346 billion pounds. Standard Life Aberdeen Plc and Schroders Plc have also seen outflows as active managers come under pressure from low-fee passive products.Operating expenses were 2% higher at 1.96 billion pounds, as it begins work on Tulloch’s goal to cut 300 million pounds a year by 2022. Plans are in place to save around half that amount over the next three years, and the company had already saved 25 million pounds, Tulloch said on the call.Aviva raised its interim dividend to 9.5 pence from 9.25 pence a year ago.The firm gave no update on its new chief financial officer. The insurer announced in June that Jason Windsor would act as a stopgap CFO following the departure of Tom Stoddard.(Adds Tulloch comments and more detail from third paragraph.)To contact the reporters on this story: Lucca de Paoli in London at email@example.com;Will Hadfield in London at firstname.lastname@example.orgTo contact the editors responsible for this story: Shelley Robinson at email@example.com, Marion Dakers, Ambereen ChoudhuryFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg) -- Aviva Plc is considering options for its Asian business including a possible divestment of the unit as its new chief executive officer seeks to overhaul the British insurer, people familiar with the matter said.The Asian assets could be valued at about $3 billion to $4 billion and a formal process could kick off later this year, the people said, asking not to be identified because the deliberations are private. While Aviva is exploring options with potential advisers, the discussions are at an early stage and no final decisions have been made, they said.Several rival insurers have signaled interest in the business, though some potential bidders would only want to acquire parts of the division, the people said. A representative for Aviva declined to comment.Aviva’s shares closed 0.9% higher at 409.60 pence in London on Thursday after earlier jumping as much as 3.7%, the biggest intraday gain in more than eight weeks. The company is scheduled to report its half-year financial results on Aug. 8.Chief Executive Officer Maurice Tulloch, who took over in March, has said he’s going to cut expenses by 300 million pounds ($363 million) a year and cut 1,800 jobs by 2022. It’s an attempt to re-inject growth in the company and lower debt. Rivals have done better by concentrating on life and pensions rather than general insurance.Tulloch, 50, said in June that he’s “determined to crack Aviva’s complexity, an issue which has held back our performance for too long.” He’s said he’ll unveil the rest of his strategy in November.“It seems likely that Aviva would need to invest significantly in Asia to grow its business,” said Kevin Ryan, an analyst for Bloomberg Intelligence. “It would not be a surprise if the Asian business was sold, especially if Aviva had received an approach for it.”U.K.-based Aviva has about 52% of its customers outside of its home market. The company has 885,000 clients in Singapore as well as strategic investments working with local partners in China, Hong Kong, Indonesia, Vietnam and India, according to its website.Operating profit in Asia rose to 284 million pounds in 2018 from 227 million pounds a year earlier, Aviva said in its last annual report. Life insurance products were responsible for the increase, while the loss on general and health insurance widened.A sale of Aviva’s Asian operations would add to the $8 billion announced insurance deals in Asia Pacific this year, according to data compiled by Bloomberg. Those include FWD Group Ltd.’s $3 billion purchase of the life insurance operations of Thailand’s Siam Commercial Bank Pcl.(Adds details of insurance deals in Asia in last paragraph.)\--With assistance from Will Hadfield, David Ramli, Lucca de Paoli and Aaron Kirchfeld.To contact the reporters on this story: Manuel Baigorri in Hong Kong at firstname.lastname@example.org;Jan-Henrik Förster in Zurich at email@example.com;Joyce Koh in Singapore at firstname.lastname@example.orgTo contact the editors responsible for this story: Fion Li at email@example.com, Amy ThomsonFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
HONG KONG/LONDON (Reuters) - British life and general insurer Aviva is looking to sell its Asia business, valuing the unit at more than $2 billion, two sources familiar with the matter told Reuters. Aviva is working with a financial adviser on a possible sale, with a formal process likely to begin in the fourth quarter, the sources said. There is no certainty of a sale, which will depend on the outcome of a review of the Asian business to be completed by the end of this quarter, the sources said.
Moody's Investors Service ("Moody's") has completed a periodic review of the ratings of Aviva Plc (Aviva) and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future.
When it comes to trampling on legacies, Maurice Tulloch is up there with the best of ’em. Just weeks since replacing the ousted Mark Wilson, the pugilistic Canadian today ripped up one of his biggest innovations.
The UK’s biggest insurer Aviva on Thursday unveiled plans to break up UK management and cut hundreds of jobs under a radical plan to revive growth at the misfiring firm. New chief executive Maurice Tulloch will slash 1800 roles, around 6% of Aviva’s 30,000 workforce, via redundancies, axing contractors and freezing some new hires over the next three years. Tulloch, who replaced former chief executive Mark Wilson in March, has been under pressure to improve Aviva, which has seen its shares stumble 20% over the past five years.