PARIS (Reuters) - France’s AXA (AXAF.PA) said on Friday it had agreed with Austrian insurer Uniqa (UNIQ.VI) to sell its operations in Poland, Czech Republic and Slovakia for 1 billion euros ($1.09 billion).
AXA is quitting markets where it lacks scale as part of a deep restructuring to cope with a negative interest rate environment.
The sale would help improve AXA’s solvency ratio by 2 points, the insurer said, adding that it did not expect any significant impact on its net income from the sale.
Uniqa said in a separate statement it planned to finance the acquisition via borrowing rather than a capital increase.
It expects the solvency-capital ratio to be in the upper third of its target corridor of 155% to 190% after the deal is completed.
Reporting by Maya Nikolaeva; Editing by Andrew Cawthorne