Dutch financial services firm Aegon completes merger transaction with a.s.r.; receives €2.2B

Netherlands-based Aegon, a financial services group, announced on Tuesday, July 4, that it has completed the merger of its Dutch pension, life and non-life insurance, banking, and mortgage origination businesses with a.s.r. The company also announced the start of their joint asset management venture.

The merger has been approved by the Netherlands Authority for Consumers and Markets, and De Nederlandsche Bank and the European Central Bank have submitted declarations of no objection.

With the completion of the transaction, a.s.r. will start merging activities. The merger of activities will be carried out in phases and is expected to be completed by 2026 at the latest. 

Jos Baeten, CEO of a.s.r., says, “We are moving from two strong, reputable companies to one a.s.r. that is committed to serving all 6.5 million customers, advisers, investors and society at large. I have complete confidence in that.”

Aegon receives €2.2B

As part of the deal, Aegon received €2.2B cash proceeds and a 29.99 per cent stake in a.s.r.

Lard Friese, CEO of Aegon, says, “The completion of this transaction marks a major milestone in Aegon’s history and in our long-term ambition to create leaders in investments, protection, and retirement solutions.” 

“The combination creates the number two insurance company in the Netherlands, with significant scale across different segments, benefiting all our stakeholders,” adds Friese.

According to Aegon, the Relationship Agreement has been changed on two items, which now require unanimous Supervisory Board approval. 

These relate to the succession of CEO Jos Baeten in the event that he steps down before the conclusion of his current term and critical capital management choices that may result in a change in a.s.r.’s risk profile.

The remainder of the agreement, including affirmative votes on changes to a.s.r.’s dividend policy, certain transactions that dilute the company’s voting power, and specific M&A transactions, remain in effect.

Aegon anticipates starting a €1.5B share purchase programme over a 12-month period soon.

Brief about Aegon

Aegon is a holding corporation for financial services. The firm looks to establish market-leading companies that provide customers with investing, protection, and retirement solutions.

In addition to the worldwide asset manager, its network of companies also includes completely owned subsidiaries in the US and UK. Aegon also has relationships in China, Brazil, and Spain & Portugal that bring value by fusing the company’s global knowledge with local partners.

All of Aegon’s actions are driven by its mission: to assist people live their best lives. It aims to make a positive difference by solving important societal and environmental concerns, with an emphasis on climate change and inclusion & diversity. 

The company is traded on the New York Stock Exchange and Euronext Amsterdam.