Boston-based Liberty Mutual Insurance and Generali Group announced a definitive agreement for Generali to acquire some western European operations of Liberty Seguros, S.A.—Liberty Mutual’s personal lines and small commercial insurance business headquartered in Madrid.
The total price for the transaction is $2.5 billion.
The transaction includes Liberty Seguros operations in Ireland, Northern Ireland, Portugal and Spain.
Liberty Specialty Markets, Liberty Mutual Reinsurance, Liberty Mutual Surety, Liberty IT and Hughes Insurance are not included in the transaction and will continue to operate in their respective European markets.
“Our dedicated Liberty Seguros employees have done a tremendous job serving our customers, brokers, agents, partners and communities—building a highly respected and profitable business. They will be a strong addition to Generali, a leading global insurer with a strategic and adept business model,” said Liberty Mutual President and Chief Executive Officer Tim Sweeney.
“This decision further helps Liberty Mutual sharpen our operational focus to deliver exceptional value across our channels, products and markets. We’re grateful to our employees for their many years of hard work and are confident in their future success with Generali,” he added.
Liberty Seguros is Liberty Mutual’s largest operation outside of the U.S. with premiums of €1.2 billion ($1.3 billion) in 2022, nearly 1,700 employees and branches throughout the Western European market.
This deal follows a separate deal, announced in May, in which Liberty Mutual sold the Liberty Seguros personal and small commercial business in Brazil, Chile, Colombia, and Ecuador to Talanx for $1.5 billion.
BofA Securities acted as financial advisor to Liberty Mutual on the Generali transcation, and Skadden, Arps, Slate, Meagher & Flom LLP provided legal advice.