Greece’s Eurobank sells insurance unit to Fairfax

Greece’s Eurobank sells insurance unit to Fairfax

Athens, December 22, 2015/Independent Balkan News Agency

By Olga Mavrou

Eurobank agreed to sell an 80% stake of its subsidiary Eurolife ERB insurance to the Canadian company Fairfax Financial Holdings for 316 million euros. Eurobank will retain a 20% stake in Eurolife.

The decision was taken in  line with Eurobank’s strategy of gradually  focusing on core banking. It also complies with a restructuring plan approved by the European Commission.

Eurolife is considered a big insurer in Greece with a market share of 10%, providing mainly life insurance products. Eurolife’s subsidiaries provide their insurance through Eurbank in Greece and through Bancpost in Romania.

“The long term collaboration with Fairfax is expected to sustain the competitiveness and future growth of the Eurolife group for the benefit of its customers and employees,” Eurobank’s representatives said.

The deal is expected to be completed in the autumn of  2016, due to the necessary approvals from the relevant supervisory and regulatory authorities.