Insurance company Allianz said on Friday that it would sell a majority stake in its Russian operations to the parent of a Russian insurance group after it decided to reduce its presence in the country following the invasion of Ukraine.
The company, which had already stopped accepting new local business, signaled last month that it would likely exit the country entirely. But with the deal announced on Friday, Allianz said it would retain a 49.9% stake in the business.
Allianz said the sale was to Interholding, which owns Russia’s Zetta Insurance, and did not disclose financial details.
The partial sale will result in a loss of 400 million euros to Allianz’s net income, the company said.
“The agreement, which follows Allianz’s decision to reduce operations in Russia, is aimed at ensuring continuity for customers and employees,” said Allianz, which in 2021 earned 0.2% of its revenues from Russia.
A spokesperson said completion of the sale and the resulting financial impact are expected later this year.
Source: CNN Brasil
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