Aviva France, announces the buying out of stakes (16.3%) held by the minority shareholders of Société d’Epargne Viagère (SEV) for €121.5 million, after paying a dividend.
Aviva France, a leading provider of life insurance, long-term savings, fund management services and general insurance, announces the buying out of stakes (16.3%) held by the minority shareholders of Société d’Epargne Viagère (SEV) for €121.5 million, after paying a dividend.
The minority shareholding was divided between the non-trading company Orme (15.9%), an estate management company of the Athias and Le Saux families, and Messrs. Gérard Athias and André Saux personally for 0.2% each.
This price results from an agreement between the parties within the framework of the parameters of the 1997 Shareholder Agreement, reinforced by an evaluation by Towers Watson, an independent firm of actuaries.
SEV, well known among AFER members, is a life insurance company whose major activity, since the beginning, has been to operate alongside Aviva Vie as co-insurer of the AFER contract. Since the beginning of 2009, as announced to AFER members, all the assets and liabilities of the AFER have been distributed equally between the two co-insurers Aviva Vie and SEV.
Messrs. Athias and Le Saux resigned in the summer of 2009 from their posts as directors of SEV: Mr. Athias on reaching the age limit, and Mr. Le Saux for health reasons, were replaced by Mr. Thierry Le Saux. AFER was informed accordingly.
Upon completion of the operation, Aviva Vie will own 100% of the capital of SEV. The company will adopt a new corporate name in accordance with the brand policy of the Aviva group.
After the increase of capital of November 2008, not followed by the minorities, this operation reinforces the strength of the stockholders' equity which guarantees the security of the AFER contract and makes it possible to take a further step in rationalising the Aviva group in France.
This operation puts an end to the shareholder relationships which originated in 1990 when Abeille Vie (now Aviva Vie) and Messrs. Gérard Athias and André le Saux created SEV. In 1997, the minority shareholding had been divided between the non-trading company Chêne (now Orme) and Messrs. Athias and Le Saux.
While turning this page in the history of relations between Aviva and the founders of the AFER, the board of directors of Aviva France, on 10 November, pointed out that: “This operation will, first and foremost, make it possible to continue rationalising the Aviva group in France. It is also a chance to recall that Aviva and its predecessors have spent 34 years supporting the life insurance revolution in France, launched successfully by the AFER, and that Aviva intends to take on the challenges of modernisation and development presented by the current leaders of the AFER.”
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For more information please contact:
Estelle Joubert – 01 76 62 57 86 – Email: estelle_joubert@aviva.fr
Karim Mokrane – 01 76 62 76 85 – Email: karim_mokrane@aviva.fr
Valérie Dudoit (HDL Communication) – 01 58 65 20 16 – Email: vdudoit@hdlcom.com
Notes to editors
About Aviva
Aviva is the sixth largest insurance group in the world*, with over 53 million clients covering Europe, North America and Asia Pacific. The major business activities of the Aviva group are life insurance, long-term savings, fund management and general insurance, with a total turnover of €51.3 billion and €426 billion of funds under management on 31 December 2009.
Aviva is the UK’s largest insurer and one of Europe’s leading providers of life and pension products. Its media centre at www.aviva.com/media comprises images, as well as all the press releases and product information of the Aviva Group. The videos can be downloaded from www.aviva.com/media/b-roll-library
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With more than 180 years of experience in France, Aviva is among the top 10 players in the insurance market. Aviva France is characterised by a solid and profitable model of balanced multi-distribution around a complete product range targeted mainly at individuals and small and medium-sized businesses: around 900 general agents, 1,800 agency collaborators, 400 life insurance consultants, around 900 property management consultants (Union Financière de France) and over 1,000 active underwriters, serve three million clients on a daily basis.
Aviva has developed specific know-how in building efficient partnerships at the service of its clients, particularly with AFER, the first savers’ association in France, and the Groups Crédit du Nord, Société Générale and Ford. As a specialist in units of account, Aviva is well-known for the long-term performance of its funds, the quality and innovative nature of its products and its reinforced commitment among clients through its “good advice” initiative.
Aviva France is a socially responsible company, which has notably reduced and neutralised its CO2 emissions, helped more than 250 projects for children and the elderly within the framework of its Foundation, and set up a recognised diversity policy.
The Aviva group directly employs more than 4,700 collaborators in France.
On 31 December 2009, it recorded a consolidated turnover of €6.7 billion and a net profit of €390 million as per the IFRS accounting basis. The company was managing funds worth €77.4 billion on 31st December 2009.
* based on issued gross worldwide premiums on 31 December 2009.