Westpac Group (ASX:WBC) to make $275 million on sale to Allianz

Company News

by Rachael Jones

Westpac Group (ASX:WBC) is set to make $725 million from the sale of Westpac General Insurance Limited and Westpac General Insurance Services Limited to Allianz.

The sale price is multiple of 1.3x FY20 gross written premium and is estimated to result in a small post-tax gain on sale in FY 2021.

The new distribution arrangement expands the Group’s existing partnership with Allianz, which has seen Westpac distribute a range of Allianz’s products to customers including Auto, Travel, Boat and Business insurance since 2015.

Shares in Westpac Group (ASX:WBC) are trading 0.3 per cent lower at $20.23.