PORTUGAL: ASSICURAZIONI GENERALI ACQUIRES SEGURADORAS UNIDAS AND ADVANCE CARE FOR €600 MILLION
Pursuant to an agreement with Apollo Global Management, Assicurazioni Generali has acquired two Portuguese companies: Seguradoras Unidas and AdvanceCare (a service company) for a total of 600 million euros. The two companies are worth 510 million euros and 90 million euros respectively.
This acquisition is part of Generali's previously announced three-year investment plan for 2019-21, that sets a ceiling of 4 billion euros. Following the acquisition of Seguradoras Unidas, Generali holds 18.7% of the non-life insurance market, making it Portugal's second largest non-life operator. The acquisition of Advance Care, although at a relatively lower cost than that of Seguradoras Unidas, is nonetheless significant. Advance Care, a service platform that mainly operates in the area of healthcare, is the second largest private operator in Portugal in this sector, with a market share of around 30%.
Generali's acquisitions are among the largest Italian investments in Portugal. The choice fell on Portugal because of the the country's growth prospects. As a matter of fact, Portugal's GDP kept growing at an estimated 2.3% in 2018 and is forecast to grow by 1.9% in 2019 and 1.7% in 2020. Also, the constant influx of foreigners, especially senior citizens coming from wealthier countries, will make the services offered by Assicurazioni Generali increasingly interesting.