Italian independent life insurer Eurovita Holding, fully owned by private equity firm Cinven, has acquired rival insurer Pramerica Life from Prudential Financial.
The acquisition will boost Eurovita's gross written premiums to €2.5bn while enabling the insurance firm to further strengthen its distribution network. It will also bring the firm new capabilities, especially in the life protection segment,enhancing the ability of the Group to design and implement tailor made solutions for the benefit of its customers, Eurovita said in a note.
It added: "This acquisition marks a new milestone in the growth strategy of Eurovita and confirms its position as a leading market consolidator in the Italian life insurance industry."
The combined insurance group resulting from the acquisition has a distribution network of more than 11,000 financial advisers, over 2,500 bank branches, and more than 100 agents and brokers.
Pramerica has been operating in the life insurance sector for over 25 years, offering savings, investment and insurance solutions for families and businesses. In 2015, it expanded its offering to include risks arising from accidents and sickness.
Erik Stattin, Group CEO of Eurovita, said earlier this year: "Pramerica is a highly regarded niche-player in the Italian insurance sector with very specific and interesting capabilities and a product range that will contribute to further accelerate the growth strategy of Eurovita."
Eugenio Preve, senior principal of Cinven, added at that time: "The acquisition of Pramerica by Eurovita is a clear example of the market consolidation strategy that Cinven pursues in order to create value through its portfolio companies.
"Thanks to its organic growth and its acquisitions, Eurovita has now made a new step to consolidate its leadership in the Italian life insurance industry."
The value of the transaction has not been disclosed.