Genworth to sell wealth management business for $412.5 mln

March 27 Wed Mar 27, 2013 4:54pm EDT

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March 27 (Reuters) - Insurer Genworth Financial Inc will sell its wealth management business to Aquiline Capital Partners and Genstar Capital for about $412.5 million.

Genworth will take an after-tax loss of about $40 million related to the sale, with about $35 million recorded in the first quarter, the company said.

The company plans to use the proceeds to pay down debt.

Goldman Sachs & Co and Sullivan & Cromwell LLP advised Genworth on the sale, which is expected to close in the second half of 2013.

Genworth shares were up marginally at $10.23 in extended trade, after closing at $10.19 on the New York Stock Exchange on Wednesday.