Aviva to sell out of Taiwan joint venture
(ShareCast News) - Aviva has agreed to sell its entire 49% shareholding in its joint venture in Taiwan, First Aviva Life, to its joint venture partner First Financial Holding Company, it announced on Friday.
The FTSE 100 insurance company said that, following a strategic review of Aviva Taiwan, it concluded that the business was not central to the group's strategy to focus on markets where it can achieve scale and profitability or have a distinct competitive advantage.
It said the transaction had a "negligible impact" on Aviva's IFRS net assets, Solvency II capital position and IFRS operating profit.
The transaction remained subject to customary closing conditions - including regulatory approval - and was expected to complete in 2018.
"We have refocused Aviva's Asian business on core markets where we have excellent opportunities to grow," said Aviva Asia executive chairman and Aviva Digital global chairman Chris Wei.
"With our strong partners and our digital focus, we are intent on disrupting the traditional insurance market."