Generali has entered into an agreement with the German Group Union Asset Management Holding AG to acquire a 100 percent stake in the Polish asset management company Union Investment TFI S.A.
Financial details of the acquisition were not revealed. The transaction is subject to approvals by regulatory authorities.
The acquisition of the Polish asset manager Union Investment TFI will significantly strengthen Generali’s presence in Poland, said Generali in a statement.
Union Investment TFI is Poland’s sixth largest asset management company with asset under management of €3.3 billion ($3.8 billion). It has approximately 135,000 retail investors and 550 institutional investors and boasts a broad range of fund products across equities, fixed income and absolute return, said Generali.
“In addition to our multi-boutique initiative for Europe announced in May 2017, we seek to benefit from the growth opportunity of CEE, especially in Poland, the largest market in the region,” said Timothy Ryan, CEO of Generali Asset Management.
“We will be leveraging on the strong position of Generali Poland and Union Investment TFI, combining our own expertise with that of experienced local investment professionals who have an excellent performance track record, to deliver the best possible investment solutions to customers,” he continued.
“The company will be supervised by our regional office in Prague as part of the asset management line,” commented Luciano Cirinà, Austria, CEE & Russia Regional officer and CEO of Generali CEE Holding B.V.
“Thanks to the contribution made by the company’s present team, nothing significant will change for its customers,” he added. “Going forward, we will be combining the skills and know-how of the Generali Group and the company to offer customers and business partners best-in-class insurance and financial products and services.”
Generali, which has been operating in Poland since 1998, ranks seventh in the Polish market with gross premiums written of €550 million ($632.1 million) and a 4 percent market share in 2017, the company said. With 1,300 local employees, it provides property and casualty insurance to retail and corporate clients as well as life insurance products. It is also active in the pension fund segment.