No more Woori for Aviva after sale of South Korean insurer

 
Michael Bow
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INSURER Aviva yesterday sold its 47.3 per cent stake in the insurance unit of South Korea’s largest financial group but said it remained committed to the Asian region.

The FTSE listed business will sell its interest in Woori Aviva Life Insurance, a joint venture it launched with Woori Financial, the group behind South Korea’s second largest bank Woori Bank.

The life insurance division, which employs about 338 people, will be sold to South Korean firm NongHyup Financial Group. Woori and Aviva will both exit the firm.

The value of new business for Aviva Asia rose 65 per cent last year and the company said the region was still important to the business.

“Aviva has a strong presence in China and south east Asia, which are key future cash generators for the group,” Aviva Asia chief executive Khor Hock Seng said.

The deal will increase Aviva’s economic capital surplus by £200m it said yesterday.