CNP Assurances signed on 9 July 2024 an agreement to sell its insurance operations in Cyprus and Greece to Hellenic Bank Public Company Ltd (“Hellenic Bank”), after completing the applicable information and consultation procedures with the employee representative bodies.
CNP Cyprus Insurance Holdings (“CIH”) operates in both the life and non-life insurance sub-sectors in Cyprus, which represent less than 1% of CNP Assurances Group’s total premium income and net profit in 2023, and in Greece, for a non-significant amount.
The transaction should allow CIH to find new growth drivers with a strong local network. The proposed sale to a local player would provide further opportunities for CIH to continue its journey and its development for the years to come.
As indicated in its press release of 25 April 2024, this sale enables CNP Assurances to re-focus its existing international footprint, while remaining committed to expansion in Europe in particular.
The total consideration for 100% of CNP CIH is €182m (corresponding to 1.0x CNP CIH book value). The estimated impact of the proposed transaction on CNP Assurances Group’s SCR coverage ratio is expected to be marginal, around c.+0.7%-pts.
The completion of this transaction remains subject to various conditions precedent, including the obtaining of authorisation from the competent authorities, and is expected by Q1 2025.
Marie-Aude Thépaut, Chief Executive Officer,
CNP Assurances
“CNP Cyprus Insurance Holdings and its subsidiaries are leading contenders in the Cypriot insurance market. This deal with Hellenic Bank, one of the leading local banks which benefits from a distribution network, should bring growth for both companies and their customers.”