American insurer Liberty Mutual has agreed to sell its Russian subsidiary, Liberty Insurance PJSC, to private lender Sovcombank, one of the largest banks in the country, Insurance Insider reported.
The company said the transaction is expected to close in the first quarter of 2020, after which the Russian subsidiary will be renamed.
Currently, the deal remains subject to regulatory approvals, including permits from the Bank of Russia and the Federal Antimonopoly Service (FAS).
“Our team is pleased to become part of Sovcombank Group and will continue to provide first-class insurance services throughout Russia as part of the banking group,” said Sergey Kovalchuk, General Director, Liberty Insurance PJSC.
“We look forward to continuing and expanding relationships with our customers,” he continued. “Sovcombank is a respected bank in Russia with great potential that will help us grow and develop.”
Dmitry Gusev, Chairman of the Board at Sovcombank PJSC, also commented: “This transaction is a continuation of our strategy of building a universal bank and acquiring expertise and competencies in key sectors of the financial market.”
“Liberty Insurance is headed by an experienced team of managers, the company employs highly qualified employees, whom we look forward to in Sovcombank group,” Gusev added. “We will do our best to make the transition period as simple as possible for employees and customers.”