Wiener Städtische Versicherung AG - VIENNA INSURANCE GROUP
euro adhoc: Wiener Städtische Allg. Vers. AG
Mergers - Acquisitions -
Takeovers
Wiener Städtische acquires majority stake in Polish CIGNA
STU S.A. and further extends its market position in Poland
Disclosure announcement transmitted by euro adhoc. The issuer is responsible for the content of this announcement.
29.11.2005
Please note: This is a translation; only the German version of this news release is authentic.
Wiener Städtische will acquire a majority stake in the Polish insurance company Towarzystwo Ubezpieczén i Reasekuracji CIGNA STU S.A.. In doing so, the leading Austrian insurance group in CEE will further strengthen its market position in Poland this year.
Wiener Städtische will acquire a stake of approx. 63 per cent in the non-life insurance company CIGNA STU S.A. , founded in 1993, with its headquarters in Warsaw.
CIGNA STU S.A. is one of the major non-life insurers in Poland. In 2004, the company had a gross written premium volume of about EUR 68 Mio. (about PLN 273 Mio.) which is an increase of about 26 percent as compared to 2003. In the first half-year of 2005, the gross written premiums amounted to about EUR 42 Mio. (about PLN 163 Mio.) which is an increase of around 17 per cent as compared to the prior-year period. Thus in non-life, CIGNA STU S.A. ranks number 8 on the market (market share approx. 2 percent).
Growth of CIGNA STU S.A. is significantly above the market average which is, amongst others, due to the excellent sales network of the company. CIGNA STU S.A. covers the entire Polish market with 24 branch offices, about 600 agents and about twice as much non-exclusive agents.
Says Wiener Städtische CEO Günter Geyer, "With the planned acquisition of CIGNA STU S.A. we are again strengthening our position among the top-ten insurers in Poland in non-life this year. CIGNA STU S.A. is well established on the Polish market and has a well-developed nation-wide sales network."
The transaction was effected subject to the approval of the Austrian and Polish authorities. The parties have agreed to keep the purchase price confidential. In Poland, Wiener Städtische is represented by the Compensa non-life insurance and Compensa life insurance companies and has strongly enlarged its operations this year. As of 2005, Wiener Städtische is further represented by Benefia non-life insurance and Benefia life insurance; the acquisition of Royal Polska as announced in July 2005 is still pending approval of the relevant authorities. By the planned acquisition of CIGNA STU S.A. , Wiener Städtische Group will increase its market share in non-life to a total of about 4.8 percent in Poland.
Wiener Städtische Allgemeine Versicherung AG A-1010 Vienna, Schottenring 30 ISIN: AT0000908504
Wiener Städtisches press releases are also available at www.wienerstaedtische.at
end of announcement euro adhoc 29.11.2005 08:21:46
Further inquiry note:
Mag. Barbara Hagen-Grötschnig
Wiener Städtische Unternehmenskommunikation
Tel.: +43 (0)50 350-21027
Fax: +43 (0)50 350 99-21027
E-Mail: b.hagen@staedtische.co.at
Branche: Insurance
ISIN: AT0000908504
WKN: A0ET17
Index: ATX Prime, ATX, WBI
Börsen: Wiener Börse AG / official market