WELLINGTON Jan 3 New Zealand insurance company
Tower Ltd on Friday said it would keep its New Zealand
life insurance business following the sale of most of its life
insurance businesses last year.
New Zealand's second-largest health insurer said that it had
decided to retain its domestic life insurance business after
considering its sale to interested parties.
"Tower believes there are a number of opportunities to
continue to improve the business performance of the retained
life business and for a release of capital over time," Tower CEO
David Hancock said in a statement.
It added that it planned to return NZ$70 million ($57.49
million) to shareholders this month through an off-market
voluntary share buyback.
Tower in May last year sold most of its life insurance
business to Fidelity Life Assurance Company Ltd in a deal worth
around NZ$189 million.
($1 = 1.2176 New Zealand dollars)
(Reporting by Naomi Tajitsu; Editing by Matt Driskill)