Genworth Gains as Reuters Says Insurer in Talks to Sell UnitZachary Tracer
Genworth Financial Inc., the seller of life insurance and long-term care coverage, gained in New York trading after Reuters reported the insurer is in negotiations to sell a wealth-management unit.
Genworth advanced 2.6 percent to $9.03 at 4:15 p.m. in New York, reversing an earlier decline.
Genworth is in talks with private equity firms Genstar Capital and Aquiline Capital Partners, Reuters reported, citing two sources it didn’t identify. A deal for the wealth management unit and the alternative investments business may be valued at $400 million to $450 million, Reuters said.
Al Orendorff, a spokesman for Richmond, Virginia-based Genworth, declined to comment. Chief Financial Officer Martin Klein said in October that Genworth was preparing the wealth-management business for a sale as part of a strategic review. Chris Tofalli, a spokesman for Genstar, declined to comment. An Aquiline representative didn’t respond to a request for comment.