Generali has agreed to sell its Panama business to local insurer ASSA Compañía de Seguros SA for a consideration of $172 million, subject to adjustment on closure of the deal.
The Italian insurer has been present in Panama since 1970 through a branch mainly operating in property and casualty. Under the deal, ASSA will acquire the assets and liabilities of the branch, including its insurance portfolio, Generali said Aug. 7.
The transaction, which is subject to approval of relevant authorities, is part of Generali's strategy to optimize its geographical presence, increase operational efficiency and improve capital allocation.
ASSA Compañía de Seguros is a subsidiary of Grupo ASSA SA.
The deal came less than a month after the Italian insurance giant agreed to sell its majority stakes in two Colombian insurance units to Talanx AG and completed the sale of its stake in Guatemala-based Aseguradora General SA.