France’s CNP Assurances in Talks to buy BTG’s Brazil coverage devices

CNP Assurances has offered 1.6 billion Brazilian reais ($396 million) for the stake, outbidding important insurers which include AXA and MetLife, one of the resources said.

In a declaration on Tuesday, BTG Pactual confirmed talks to promote Pan Seguros, in addition to its coverage broking unit Pan Corretora SA, however did no longer name a potential purchaser. BTG Pactual is selling property to elevate cash inside the wake of the arrest ultimate 12 months of its founder Andre Esteves.

Reuters mentioned on Monday that BTG Pactual had requested bidders to post binding offers for its Pan Seguros’ majority stake in February.

First spherical bids in December valued the enterprise, which offers lifestyles and domestic coverage, at between 1 and 1.three billion Brazilian reais ($three hundred million), numerous assets stated.

AXA and MetLife submitted the highest offers within the preliminary bidding spherical, with rivals Zurich, Assicurazioni Generali and U.S.-based totally Liberty Mutual also taking part, one of the sources said.

BTG Pactual took manipulate of Pan Seguros ultimate year.

Caixapar, the funding arm of Brazilian federal financial savings bank Caixa Economica Federal, has the remaining forty nine percentage and wants to hold on to it, the sources stated.

CNP Assurances has been working in Brazil considering 2001 thru Caixa Seguradora, a subsidiary owned at the same time with Caixa Economica Federal and CNP Assurances’s neighborhood distribution accomplice.

With more than 9 million policyholders, Caixa Seguradora says it is Brazil’s fifth biggest coverage employer and employs greater than 800 human beings in the country.

Latin American insurance markets are below penetrated, coverage experts say, presenting an possibility for international insurers whose home markets are mature.