Unione di Banche Italiane S.p.A. agreed to acquire remaining 80% stake in Aviva Vita S.p.A from Aviva plc (LSE:AV.) for €400 million on November 23, 2020. The transaction represents a multiple of 8.4x Aviva Vita's 2019 IFRS profit after tax, 1.0x solvency II own Funds at 30 June 2020 and 1.2x net asset value at June 30, 2020. Aviva Vita S.p.A reported total asset of £16.3 billion (€17.9 billion). The transaction is subject to customary closing conditions, including regulatory approval, and is expected to complete in the first half of 2021. The proceeds will be used to further strengthen Aviva's central liquidity and will be considered as part of Aviva's broader capital management and debt reduction objectives. In addition, a subordinated loan of €40 million provided by Aviva Italia Holding S.p.A. to Aviva Vita, will be repaid in full at completion. The transaction would increase Aviva's net asset value as at June 30, 2020 by £100 million (approximately €1110 million), strengthen Aviva's Solvency II capital surplus by £200 million (€220 million) and increase its Solvency II coverage ratio on a shareholder basis by approximately 4% points. Luca Gentile of Aviva internal legal team represented the transaction. Paolo Ghiglione of Allen & Overy LLP acted as legal advisor to Aviva plc. Expected proceeds from the previously announced sale of our shareholding in Aviva Vita4 to UBI Banca, Aviva will realize over €1.3bn of cash from the sale of its insurance businesses in Italy

Unione di Banche Italiane S.p.A. completed the acquisition of remaining 80% stake in Aviva Vita S.p.A from Aviva plc (LSE:AV.) on April 1, 2021.