14 April 2009
AVIVA ACQUIRES PENSION FUND FROM ING IN RUSSIA
Aviva plc ('Aviva') has signed an agreement to acquire ING Group's non-state pension fund business and its holding company in Russia. The pension fund, which had assets under management of £30.4 million* at 31 December 2008, provides pensions to large multi-national corporate clients and has 17,000 members. The gross assets of the holding company were £0.08 million ** at 31 December 2008.
The acquisition will see Aviva become the leading foreign-owned provider of non-state pension fund products in Russia, with around a 10% share of the assets under management within the competitive (non-captive) corporate pensions market.
Andrea Moneta, chief executive, Aviva Europe, said: 'This acquisition will grow our market share of the Russian non-state pension fund business significantly, taking us from a top three foreign-owned player to the leading position. The deal provides the opportunity for us to cross-sell other life and savings products to a substantial customer base.'
The acquisition has received approval from the Russian anti-monopoly authority and is expected to complete in early May 2009.
* RUR 1.297 billion at an exchange rate of GBP 1: RUR 42.62
** RUR 3.5 million at an exchange rate of GBP 1: RUR 42.62
NB: gross asset / asset under management values are as stated in unaudited local accounts as at 31 December 2008
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Enquiries:
Media
Sue Winston, head of media relations +44 (0)20 7662 8221
Paul Harris, senior media relations manager +44 (0)20 7662 9511
James Murgatroyd/Conor McClafferty, Finsbury +44 (0)20 7251 3801
Analysts
Charles Barrows, investor relations director +44 (0)20 7662 8115
Jessie Burrows, head of investor relations +44 (0)20 7662 2111
Susie Yeoh, investor relations manager +44 (0)20 7662 2117
Notes to editors:
Aviva is the world's fifth largest* insurance group, serving 50 million customers across Europe, North America and Asia Pacific.
Aviva's main business activities are long-term savings, fund management and general insurance, with worldwide total sales of £51.4 billion and funds under management of £381 billion at 31 December 2008.
We are the largest insurance services provider in the UK and one of the leading providers of life and pension products in Europe.
Aviva Russia, the 6th largest life company in the market, offers a range of competitive long-term savings and protection products to corporate clients, partner banks and individual customers. The company sells products through a number of distribution channels, including corporate sales, sales through banks and direct sales. Aviva Russia launched its non-state pension fund in 2007.
Aviva will acquire 100% of the pension fund together with back-office services and support staff.
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*based on gross worldwide premiums at 31 December 2007