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Ageas Will Pay $220 Million for 31% of Aksigorta

Ageas, the Belgian insurer formerly known as Fortis, agreed to buy 31 percent of Turkey’s Aksigorta AS for $220 million.

Ageas will buy the stake from Haci Omer Sabanci Holding AS and become a 50-50 partner with Sabanci in the venture, Sabanci said in a filing with the Istanbul Stock Exchange today.

Turkey’s insurance industry, which makes up less than 1 percent of the country’s gross domestic product, compared with 4 percent to 5 percent in the European Union, has attracted investment from companies such as Groupama SA, Mapfre SA, Zurich Financial Services, AXA SA and Aviva Plc into non-life and its new pension-fund sector.

Ageas and Sabanci will have equal control in Aksigorta’s management, according to the statement. No offer will be made to buy the remaining shares in the company from minority shareholders, it said.

Aksigorta fell 1 kurus, or 0.4 percent, to 2.38 liras on the main ISE National 100 index yesterday.

Citigroup Inc. and Turkish broker Ak Yatirim were hired as advisers for the sale in March last year.

-Editor: Mark Bentley

To contact the reporter on this story: Aydan Eksin in Istanbul at aeksin@bloomberg.net

To contact the editor responsible for this story: Mark Bentley at mbentley3@bloomberg.net

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