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Aviva set to take £800m hit with US sale
by Daniel Grote on Jul 30, 2012 at 08:01
Aviva is set to sell its US division for around £1 billion, after a number of unsolicited approaches from potential acquirers, according to The Sunday Telegraph.
The paper said it understood Aviva chief financial officer Pat Regan has been preparing its US life division Aviva USA for sale from its headquarters in Des Moines, Iowa.
Aviva bought the business, formerly known as AmerUS, for £1.8 billion in July 2006. The business is now valued at £1 billion.
The Sunday Telegraph said it believed Aviva had selected Goldman Sachs to oversee the sale, although the bank has not yet been formally appointed.
Aviva is currently undergoing a restructure of its business, led by executive chairman John MacFarlane, following the departure of chief executive Andrew Moss. MacFarlane has said he wants to focus only on overseas assets that could be in a strong position in their domestic market.
The paper said it understood he had told investors that due to incoming Solvency II regulations, it would not make financial sense to hold on to the US division.
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by Jun Merrett on Dec 06, 2013 at 10:31