Allianz Sizing Up Property, Casualty Insurance Buys, Mainly In Europe
May 09 2012 - 7:32AM
Dow Jones News
Allianz SE (ALV.XE) is sizing up potential acquisitions in
property & casualty insurance, having a better grasp of future
capital requirements for the business under Europe's planned
Solvency II regime, Chief Executive Michael Diekmann told
shareholders Wednesday.
The insurer is mainly taking a look at potential targets in
Europe that would support the property and casualty insurance
business. And it will continue to scan Asia and central and eastern
Europe for targets, but prices there are still too high, Diekmann
said.
Allianz, which sold loss-making Dresdner Bank to Commerzbank AG
(CBK.XE) in early 2009, has refrained from making acquisitions for
several years. It confirmed in late April that it is in exclusive
negotiations with French Groupama on brokerage-related activities
of its Gan Eurocourtage insurance unit, excluding transport.
Management board member Dieter Wemmer told shareholders that the
French business would well supplement Allianz's operations.
Chief Financial Officer Paul Achleitner told shareholders that
no decision has been made as to whether Allianz will actually list
in China and that approval from China's regulators enabling foreign
companies to do so is still pending, but added Allianz's share
would benefit from such a move.
Shareholders are being asked to approve that previously
authorized capital be used for a listing on the Shanghai stock
exchange, once that becomes possible for foreign issuers.
CEO Diekmann also said he will neither raise nor lower the
current operating profit guidance for 2012 when he presents the
full set of first-quarter earnings next week. The comment was in
response to criticism by shareholders that the guidance--of an
operating profit between EUR7.7 billion and EUR8.7 billion--could
be too conservative, given the good start in the first three
months.
-By Ulrike Dauer, Dow Jones Newswires; +49 69 29725 500;
ulrike.dauer@dowjones.com