Allianz Group is in pole position to invest in Spain-based Banco Bilbao Vizcaya Argentaria SA's bancassurance business, although it must still fend off a U.S. rival, Reuters reported, citing two sources close to the deal.
A deal, said to be valued at more than €1 billion, is likely by the end of 2019, according to the sources. A deal is anticipated to be built as a partnership or a joint venture involving insurers in Spain, Mexico and Latin America.
However, the German insurer must still contend with Liberty Mutual, which is also eyeing a bid. The sources said BBVA's negotiating power is weaker following the reported withdrawal of Italian insurer Generali due to concerns over the investment's profitability.
