Generali has put out an update for the financial community on the integration of cooperative insurance firm Cattolica and the implementation of new accounting standards.
The financial giant said in its two-page update that an effective and accelerated integration process had caused synergies under Cattolica to rise from €80m by 2026 to somewhere between €120m and €130m by 2025.
It is said that the underlying net profit of Cattolica’s core operations will be at least €145m by 2024, with an upgraded, additional +0.4 p.p. contribution from Cattolica to the EPS CAGR over the course of the ‘Lifetime Partner 24: Driving Growth’ plan.
Generali said that the integration process, which includes the creation of a simplified and centralised product portfolio under Generali Italia, is proceeding swiftly and effectively.
The firm announced its intentions last year to takeover the Italian firm, with approval for the move being given in October last year.
The European Commission has given Generali the green light to make an offer to acquire all the ordinary shares of Cattolica.
Generali committed to becoming a major shareholder of Cattolica Group through a reserved share capital increase for €300m back in June 2020, when the pair launched a new strategic partnership.
Cattolica offers life and non-life insurance in Italy through a network of agencies and affiliated banks.
Its services include life, automobile, health, fire, theft, accident, and property damage insurance and real estate management.