December 9, 2004 – Amsterdam, – ING Canada and Allianz Group today announced the closing of their previously announced definitive share purchase agreement for the acquisition by ING Canada of Allianz�s Canadian property and casualty (P&C) insurance operations.
Under the terms of the agreement, ING is acquiring Allianz of Canada Inc. and its subsidiaries Allianz Insurance Company of Canada, group insurer Trafalgar Insurance Company of Canada as well as Canada Brokerlink, a network of insurance brokerages operating in Ontario and Alberta. Allianz will however retain its Canadian industrial lines business, which is part of Allianz Global Risks (AGR). The purchase price amounts to CDN $370 million, which is expected to be financed partly through the proceeds of the planned initial public offering of ING Canada shares.
On a pro forma basis, as if the acquisition had occurred on January 1, 2004, ING Canada�s direct written premiums for the first nine months of 2004 would have amounted to CDN $3.152 billion with total assets as at September 30, 2004 of CDN $8.941 billion.
The Allianz acquisition with its portfolio of personal and small to medium commercial lines business is expected to reinforce ING�s position in its core businesses and expand its national presence.
ING Canada is the largest provider of property and casualty insurance in Canada based on direct premiums written in 2003. ING Canada�s principal insurance products are automobile, property and liability insurance, which it provides primarily to individuals and small to medium sized businesses through its insurance subsidiaries across Canada.
Allianz Group, with its head office in Munich, is present in over 70 countries, providing its customers worldwide with a comprehensive range of services in the areas of property and casualty insurance, life and health insurance, asset management and banking.