Laya Healthcare to joins AXA in €650m deal: A strategic move in the health insurance market

TAGS

Insurance giant AXA announced today that it has entered into an agreement to acquire Laya Healthcare Limited from Corebridge Financial Inc., a subsidiary of AIG, for a consideration of €650 million. The acquisition, representing an expected price-to-earnings multiple of around 11x, is set to have an impact of -3 points on AXA Group’s Solvency II ratio. The completion of the transaction is anticipated by the end of 2023.

Laya Healthcare’s Prominent Role in the Irish Health Market

Laya Healthcare has carved a leading position in the Irish health market, holding approximately 28% market share. Serving close to 700,000 policyholders, it generates around €800 million premiums per annum. With a highly digitalized platform and strong direct distribution network, Laya Healthcare operates as a Managing General Agent, acting as the sole point of contact for its customers throughout their healthcare journey.

See also  Insurtech firm Roadzen to go public with Vahanna Tech Edge Acquisition I

AXA’s Expansion in the European Health Insurance Market

This transaction enables AXA to affirm its commitment to expanding its European franchise, particularly in the vibrant and rapidly growing Health insurance market in Ireland. AXA already maintains a number one position in the Irish P&C market.

AXA announces acquisition of Laya Healthcare to strengthen European franchise

AXA announces acquisition of Laya Healthcare to strengthen European franchise. Photo courtesy of JoachimKohler-HB/Wikimedia Commons.

Executives Express Enthusiasm for the Acquisition

Patrick Cohen, Chief Executive Officer European Markets & Health at AXA, stated, “We are very pleased to join forces with Laya Healthcare, a company recognized in Ireland for its unwavering customer service, its strong brand, and its technical expertise. This transaction provides a unique opportunity to strengthen our presence in one of our key European markets through the acquisition of a leading player offering a perfect cultural fit with AXA. Through its relentless focus on innovation and customer experience, Laya will bring invaluable assets to our broader Health franchise, notably in terms of digitalization of the healthcare journey and provision of health-related services.”

See also  Gallagher Re acquires Lloyd's broker Bay Risk Services

Marguerite Brosnan, Chief Executive Officer of AXA Ireland, expressed confidence in the transaction, saying, “This transaction further diversifies our company, and I am confident that we will see our business thrive with the addition of Laya. We look forward to working together to develop innovative products, grow further our tech & data capabilities and create value for the benefit of our clients and all our stakeholders. I would like to welcome Laya’s team members whose vision and hard work over the past 20 years have made it a very successful company.”

See also  Relation Insurance Services acquires employee surety firm Pope & Young

The acquisition’s finalization remains subject to customary closing conditions, including regulatory approvals.

CATEGORIES
TAGS
Share This

COMMENTS

Wordpress (0)