Commonwealth Bank
(ASX:CBA) has announced the sale of the Australian and New Zealand arms of its life insurance business, Comminsure Life and Sovereign, to AIA Group for $3.8 billion.
The deal includes a 20 year distribution partnership with AIA for life insurance products to customers in both countries.
As a result of the sale, combined operations will position AIA as the life insurance market leader across the ANZ region.
For CBA, the sale is expected to unlock $3 billion of Common Equity Tier 1 capital for the bank.
In a separate announcement, the bank has also indicated it will commence a strategic review of asset management business Colonial First State Global Asset Management (CFSGAM), and will consider a range of options for the business, including an IPO.
Shares in Commonwealth Bank
(ASX:CBA) closed 0.01 per cent higher at $76.29.
