Intact Financial Corporation and Scandinavian insurer Tryg have completed the acquisition of RSA Insurance Group.
Tryg and Intact will now be able to initiate the separation of the RSA business, providing Tryg with sole legal ownership of Trygg-Hansa in Sweden and Codan in Norway whilst Intact continues to co-own Codan’s Danish business on a 50/50 economic basis.
The separation is looking to be completed during the first quarter of next year.
Tryg contributed £4.2 billion towards the acquisition, with Intact’s portion of the deal amounting to £3 billion.
Under the deal, RSA shareholders will receive 685 pence in cash for each share. In addition, RSA shareholders will be entitled to receive the insurer’s interim dividend of 8p.
SA Chair Martin Scicluna commented: “RSA has provided peace of mind to individuals and protected businesses from risk for more than 300 years.
“That history has seen significant consolidation in the insurance industry, and we believe that RSA’s businesses, customers, employees and other stakeholders will prosper under the stewardship of Intact and Tryg, two great businesses with long histories and reputations.
“The acquisition of RSA has delivered attractive, certain value for our shareholders and I wish Intact and Tryg every success for the future.”