ageas (AGS) investor relations material

Deal rationale and strategic fit

• Full ownership of the leading Belgian insurer strengthens the group’s core, enhances strategic flexibility, and supports Elevate27 ambitions, aligning with a focus on consolidated, cash-generative activities and future inorganic growth opportunities.

• Acquisition consolidates market leadership in Belgium, leverages multi-channel distribution expertise, and deepens technical and operational collaboration.

• The 15-year renewal of the bancassurance partnership and deepened asset management collaboration with BNP Paribas Fortis reinforce long-term growth and expertise sharing.

• Transaction aligns with the goal to balance mature European operations with growth in Asia and tilts the group profile toward cash-generating entities.

Financial terms and conditions

• EUR 1.9 billion paid to BNP Paribas Fortis for the remaining 25% stake, making the acquirer the sole owner.

• Financed through an equity placement of 18.5 million shares at EUR 60/share, existing cash, and debt facilities.

• BNP Paribas will hold a 22.5% stake in the group post-transaction, with a shareholding cap below 25% to preserve autonomy.

• Transaction is capital efficient, solvency-neutral, and delivers a levered ROIC of 15–16%.

Synergies and expected cost savings

• Identified synergies include EUR 10 million, mainly from cash fungibility and minor cost savings at the corporate center.

• Immediate uplift in Net Operating Result and recurring upstream cash flow, with HFCF per share projected to rise by 7–8% by 2027.

• Shareholder remuneration target raised from EUR 2 to 2.2 billion, with annual 6% dividend per share growth commitment.

• Strategic flexibility and operational synergies expected, but not yet fully quantified.