Generali is set to acquire Liberty Seguros from Liberty Mutual for €2.3 billion in cash, having received approval from the European Commission under the European Union merger regulation.
In a recent bulletin, the Commission stated: “The transaction primarily involves the non-life insurance sector in Portugal, where there is overlap in the activities of Liberty Seguros and Generali.
“The Commission determined that the notified transaction would not pose competition concerns, given its limited impact on the markets where the companies operate, and considering that both companies will continue to face competition from several robust rivals.”
Initially revealed in June, the deal is expected to yield “attractive financial benefits” for Generali.
At the time of the announcement, the Italian insurer highlighted: “Through this transaction, Generali will secure the fourth position in the Spanish P&C (property and casualty) market, solidifying its standing at number two in Portugal.
“Generali will also enter the Irish market with a top 10 market share, presenting a compelling opportunity to further expand the group’s European footprint in a profitable and attractive market.”