September 25, 2024 06:37 GMT
FINANCIALS: UniCredit Takes Control of Italian Bancassurance; 20bp CET1 Hit
FINANCIALS
UniCredit Takes Full Control of Italian Life Bancassurance Business; 20bp CET1 Impact
{UCG IM Equity} Baa3/BBB-/BBB-
- UniCredit to internalize life bancassurance in Italy by acquiring CNP Assurances’ 51% stake in CNP UniCredit Vita (CUV) and Allianz’s 50% stake in UniCredit Allianz Vita (UAV), gaining full ownership of both entities.
- Transactions expected to complete in 2025, pending regulatory approval. Impact on CET1 ratio estimated at ~20bps. Fully loaded CET1 ratio was 16.2% at Q2 against a managerial target of 12.5-13% and their requirement of 11.9%.
- UAV and CUV reported 2023 Gross Written Premiums of EUR 7.5bn and total technical reserves of EUR 44.9bn. Life bancassurance generated ~EUR 500mn in distribution fees (12% of Italy total) and ~EUR 85mn in profits.
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