RSA to sell Singapore and Hong Kong insurance businesses
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RSA Insurance Group has agreed to sell the insurance business of each of its branches in Singapore and Hong Kong, generating around £130m in cash and marking an expected gain on sale of around £110m.
The group anticipates the transaction will further improve its capital strength by adding around £95m to its tangible net assets.
Chief executive Stephen Hester said: "This transaction builds further on the momentum of our recently announced disposals [...] and represents continued progress against our aim of tightening the strategic focus of the group.
"Further disposals are targeted over the next 12-18 months to complete this process."
A consideration of £93m is being paid for RSA Singapore and around £37m for RSA Hong Kong.
The transactions are expected to complete during the first half of 2015.
NR