Caixa Seguros, a Brazilian subsidiary CNP Assurances, has signed an agreement to purchase 70% of the outstanding shares of Previsul, for a sum of BRL70m (€27m).
Acquisition of Previsul, a Porto Alegre-based life insurance specialist, is designed to strengthen the company's operations in south Brazilian market.
Functioning as part of Caixa Seguros, Previsul will continue its assertive commitment to serving Southern Brazil as a major insurance company and further boost its growth drive.
CNP Assurances chief executive officer Frédéric Lavenir said, "This acquisition is seamlessly aligned with our goal of expanding in Brazil by extending our geographic coverage and diversifying our distribution channels."
The transaction completion is subjected to approval by SUSEP, the Brazilian insurance supervisor.
Established in 1906, Previsul is a personal insurer with a portfolio of approximately 600,000 policyholders, 143 employees and 3,000 partner brokers, mostly in Rio Grande do Sul, Brazil.
Caixa Seguros offers life, pension, personal risk, property and casualty and health insurance.
