“Acquisitions are not a strategy. They are only a means to achieve a goal ”, qualified George Quinn, chief financial officer of Zurich Insurance, during a video conference, Friday. Because the insurance group buys for 3.94 billion dollars (3.5 billion francs) the non-life business of MetLife, an activity registering 3.7 billion dollars in premiums. In this case, Zurich Insurance will pay $ 2.4 billion and its American subsidiary Farmers Group $ 1.5 billion. Is this a change in philosophy for the insurer led since March 2016 by Mario Greco?
A complementary network
Mario Greco is also jumping over his shadow as a very cautious manager when it comes to acquisitions. The managing director is not opposed to this type of transaction, but they must meet rather strict criteria, especially in terms of profitability. “It is open to buyouts that make strategic and tactical sense,” said Simon Wespi, analyst with asset manager Albin Kistler. Since joining the group, MetLife represents his biggest acquisition. In 2017, the buyout of ANZ’s life business was limited to $ 2.2 billion.
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