U.S. insurer Cigna Corp (CI.N) is buying a 51 percent stake in Finansbank’s (FINBN.IS) wholly owned unit Finans Emeklilik, forming a joint venture with the Turkish lender, two sources familiar with the matter told Reuters on Wednesday.
The deal will give Cigna access to the fast-growing Turkish market, which is becoming increasingly attractive for foreign insurers looking to diversify away from competitive and mature home markets where there is less chance for growth.
Finansbank (FINBN.IS) is owned by National Bank of Greece (NBGr.AT).
France’s Axa (AXAF.PA) and Aegon (AEGN.AS) of the Netherlands had also been competing to make the investment, the people said.
“The winner is Cigna,” one person said, adding that under the deal, Cigna will have a 15-year distribution agreement with the joint venture.
Details on the deal’s valuation were not available. Cigna declined to comment. A Finansbank representative could not immediately be reached for comment.
Finansbank said on October 13 that it had mandated the board to evaluate strategic options for a stake sale in Finans Emeklilik.
via Cigna buying 51 percent in Turkey’s Finans Emeklilik: sources | Reuters.