By Gilles Castonguay

MILAN--Assicurazioni Generali SpA (G.MI), Italy's biggest insurer, Thursday said it had successfully completed the placement of 13.7 million ordinary shares representing about 12% of asset management unit Banca Generali SpA (BGN.MI) at EUR13.55 apiece, part of a strategy to improve its solvency ratio, or its ability to meet obligations.

Generali, which announced the placement the previous day, said in a statement it had raised EUR185.2 million, resulting in a capital gain of about EUR143 million.

The gain translated into an increase in its Solvency I ratio of 1.5 percentage points, it said. At the end of 2012, the ratio was 150% against 117% a year earlier.

Generali said the placement to instititional investors had brought its majority stake in the unit to 51.5%, adding that it had agreed to a six-month lock-up period with respect to the sale of additional shares.

UBS AG (UBSN.VX, UBS) and Mediobanca (MB.MI) were the joint global coordinators and joint bookrunners for the sale. At 0818 GMT in Milan, Generali's shares were up 1.98% to EUR12.39 and those in Banca Generali were down 5.2% to EUR13.83.

-Write to Gilles Castonguay at gilles.castonguay@dowjones.com; Twitter: @GRCastonguay

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