WELLINGTON Feb 26 New Zealand insurer Tower Ltd has sold its investment arm to fund manager Fisher Funds for NZ$79 million ($66.18 million) as the company narrows its business focus, the company said on Tuesday.
The sales follows Tower's divestment of its health insurance business to Australian private insurer NIB Holdings Ltd in November.
The New Zealand-owned Fisher Funds, which manages more than NZ$1.4 billion in assets, will buy Tower Investments as a stand-alone business, the companies said in a statement.
Tower said it would continue to assess other opportunities to obtain value for shareholders as part of its strategic review undertaken last year.
Tower had been the third-largest retail fund manager in New Zealand and is the second-largest health insurer.
Formerly operating as one company in New Zealand and Australia, Tower split into separate listed companies in November 2006, as the two companies followed different business strategies.
($1 = 1.1937 New Zealand dollars) (Gyles Beckford)