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VIG set to increase stake in Hungarian operations to 90%

EditorRachael Rajan
Published 2023/11/27, 19:02
© Reuters.
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The Vienna Insurance Group (VIG) is poised to consolidate its market position in Hungary by increasing its stake in VIG Magyarorszag to 90%. This strategic move follows the group's acquisition of Aegon’s Hungarian operations, which was completed in March 2022 and led to the formation of a management holding for these entities.

The transaction, which is currently pending regulatory approval from the Hungarian National Bank, involves the purchase of additional shares from Corvinus International Investments Zrt. Corvinus will retain a 10% interest in the holding company following the divestment. The legal advisory for this acquisition is being provided by Wolf Theiss, with a team led by Horst Ebhardt and János Tóth, and includes significant contributions from Melinda Pelikán, Lukas Ploesch, Kinga Kajcsos, and László Lovas.

Since entering the Hungarian market in 1996, VIG has established itself as a market leader, commanding over a 19% share. Its subsidiaries, Alfa and Union, have reported substantial premium volumes, totaling EUR 403 million in the first half of 2023.

The completion of this acquisition is expected to further strengthen VIG's presence in Hungary, where it has been operating for nearly three decades. The deal's closure is subject to the approval of the Hungarian National Bank, which is anticipated to be received shortly.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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