Aviva is to sell its offshore Friends Provident International business in Asia and the Middle East for £340m following a strategic review.
It has agreed to sell the offshore arm to International Financial Group, formerly known as RL360.
The deal is subject to regulatory approval, and will see Friends Provident International’s £7.6bn funds under management transfer to IFG.
The sale will take IFG’s combined assets to £15.9bn and its total number of policies to 250,000.
Aviva says: “Aviva has concluded that the business is not central to the group’s strategy to focus on a small number of markets where it has scale and profitability or a distinct competitive advantage.”
The firm says there will be no changes to customers’ policies as a result of the announcement.
Aviva Asia and Friends Provident International executive chairman Chris Wei says: “The sale of Friends Provident International is a good outcome for Aviva. It allows us to focus on the significant opportunities we have to grow Aviva’s business across Asia through digital and disrupting the traditional insurance industry.”
IFG chief executive David Kneeshw says: “Welcoming Friends Provident International to the group’s already impressive stable fits with our stated long-term goal of high-quality acquisitions to complement our existing international business.
“Friends Provident International’s strong franchise and its branch structure make the business an ideal fit with IFGL and we see significant opportunities for the businesses to work together and grow.”