AXA Enters the Romanian Life Insurance Market
15 Januar 2010 - 3:24PM
PR Newswire (US)
PARIS, Jan. 15 /PRNewswire/ -- AXA announced today the acquisition
of Omniasig Life. With this operation, AXA enters the Romanian Life
insurance market, in line with its objective of accelerating the
development of its activities in the emerging countries, notably in
Central and Eastern Europe. After the buyout of the minority
interests of its Hungarian, Czech and Polish subsidiaries held by
the EBRD in December 2009, the acquisition of Omniasig Life
represents for AXA an excellent opportunity for its development in
a high growth potential market of Central and Eastern Europe. The
Romanian market, with its low life insurance penetration rate(1)
compared to the rest of the European Union (0.4%(2), with a life
insurance market of ca. Euro 0.5 billion in 2008), offers to AXA an
important growth potential. Created in 1997, Omniasig Life sells
protection products, representing premiums of Euro 12 million in
2008, through a network of ca. 1,400 agents (o/w a quarter is
proprietary channel). The closing of this operation is subject
amongst others to regulatory approval and is expected to take place
during the 1st half-year of 2010. About AXA Group AXA Group is a
worldwide leader in Financial Protection. AXA's operations are
diverse geographically, with major operations in Europe, North
America and the Asia/Pacific area. For 1H09, IFRS revenues amounted
to Euro 48.4 billion and IFRS underlying earnings to Euro 2.1
billion. AXA had Euro 967 billion in assets under management as of
June 30, 2009. The AXA ordinary share is listed on compartment A of
Euronext Paris under the ticker symbol CS (ISIN FR0000120628 -
Bloomberg: CS FP - Reuters: AXAF.PA). The American Depository Share
is also listed on the NYSE under the ticker symbol AXA. (1)
Premiums / GDP. (2) Western Europe: 5.25% and Central & Eastern
Europe: 0.74% (source: Swiss Re, sigma No3/2009). About AXA in
Central and Eastern Europe Life insurance operations -- Presence in
5 countries: Poland, Czech Republic, Hungary, Slovakia and Romania
(subject to regulatory approval) -- Revenues: Euro 467 million in
2008 (Euro 229 million in HY2009) -- AXA's market share between
2006 and 2008 has increased from 1.9% to 2.5% in Life and from 5%
to 7.8% in Pensions -- 2.5 million clients overall -- Products:
protection, short/medium term savings, long term/pensions (pension
funds, regular premium, annuities, GMWBL) -- Distribution: 27%
proprietary, 73% non proprietary Key figures (as of 12/31/08)
Pensions Life (ranking and (ranking and Proprietary market share)
market share) agent network -------------- -------------
------------- Poland # 5 (5%) # 8 (5%) 1,393 ------ --------
-------- ----- Czech Republic # 2 (19%) # 10 (3%) 2,079 ---------
--------- --------- ----- Hungary # 5 (7%) # 10 (3%) 322 -------
-------- --------- --- Slovakia # 2 (28%) # 15 (2%) 1,331 --------
--------- --------- ----- 230 full time + 340 part Romania - # 10
(2.55%) time ------- --------- ------------ ------------- P&C
and banking operations -- AXA also operates P&C business in CEE
through greenfields in Czech Republic, Slovakia and Poland, as well
as through joint-ventures in Ukraine with Ukrsibbank (GWP of Euro
0.8 billion in 2008) and a 37% participation in Reso-Garantia in
Russia (GWP of Euro 0.8 billion in 2008). -- AXA is also present in
the retail banking business in Hungary (4% market share in 2008)
This press release is available on the AXA Group website:
http://www.axa.com/ DATASOURCE: AXA Group CONTACT: Emmanuel
Touzeau, +33-1-40-75-46-74, or Laurent Secheret, +33-1-40-75-48-17,
Armelle Vercken, +33-1-40-75-46-42, all of AXA Group Web Site:
http://www.axa.com/
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