1st Jun 2016 14:12
LONDON (Alliance News) - Barclays PLC on Wednesday said it completed the sale of its insurance business in Italy to CNP Assurances, progressing efforts to shrink its collection of non-core assets.
The bank said 37,000 customers and about EUR700 million of assets under management will transfer to the buyer as part of the deal.
The sale represents an annualised cost reduction of about EUR5 million for Barclays, which said neither party will be disclosing further financial terms of the deal.
Barclays Vida y Pensiones Compañía de Seguros (BVP) was set up in 2009 to provide life insurance and pension products in Spain, Italy and Portugal. BVP had already sold its Portuguese insurance business to Bankinter Seguros de Vida, completed in April 2016.
Barclays also announced the proposed sale of its Italian retail bank to Chebanca! in December 2015 but will continue to operate investment banking and corporate banking in Italy and manage the remaining retail mortgage portfolio.
Harry Harrison, Co-Head of Barclays Non-Core, said: ?We continue to accelerate the rundown of Barclays Non-Core. As we sell these businesses, reducing cost, operational risk and capital allocation, we are revealing the underlying strength of the core business.?
Shares in Barclays were down 1.7% at 179.35 pence Wednesday.
By Samuel Agini; [email protected]; @samuelagini
Copyright 2016 Alliance News Limited. All Rights Reserved.
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