Allianz to pay €160m to take full control of Allianz-Irish Life
German insurance giant Allianz is to acquire the remaining stake in Allianz-Irish Life Holdings (AILH) for €160m.
Allianz currently holds a 66.5pc stake in Allianz-Irish Life Holding and will pay Canada Life and other shareholders a total of €160m for the remaining 33.5pc of the business.
The deal secures Allianz full control over the third-largest non-life insurer in the Irish market.
Allianz was already the majority owner and the business trades under the Allianz brand. Canada Life currently owns 30.4pc of AIHL with the remaining 3.1pc is owned by other investors.
Existing shareholders will receive €20.68 each for their shares under the agreement which has been supported by Canada Life.
The deal will be subject to shareholder approval and to final sanction from the High Court.
Allianz has been the majority shareholder since it purchased the two-thirds stake in AGF Irish Life back in 1998.
The German giant is the world's largest insurance company with annual revenues in excess of €122bn.
Latest accounts for AILH show the company paid shareholders €40m in dividends in January of last year.
Last November Allianz posted a third quarter profit rise of 18pc to €2.9bn, compared to a year earlier.
Total revenues for the period were €27.7bn and the company said its operating profit outlook for 2016 would be around €10.5bn.
The group said the profits hike reflected contributions from all of its main business segments - notably Life and Health.