PZU Group enters into conditional agreement to acquire 100% of MetLife Ukraine
PZU SA Group has entered into a conditional agreement to acquire 100% of the shares of MetLife Ukraine, the leader of the Ukrainian life insurance market, according to a statement by PZU Ukraine.
The agreement is expected to strengthen PZU Group’s position in Central and Eastern Europe, expand its scale in the life insurance segment, and align with its strategy to build a regional leader.
"The acquisition of MetLife Ukraine is an important step in implementing our long-term strategy to build a strong international insurance and financial group in Central and Eastern Europe. We are investing in a market leader with an experienced team and a sustainable business model, which strengthens our presence in Ukraine and significantly increases the scale of operations in the life insurance segment. This decision combines strategic ambitions with solid business fundamentals," said PZU Management Board Chairman Bogdan Benczak.
In addition, the move is consistent with the group’s strategy to expand in Central and Eastern Europe, particularly in markets where it already has an established presence. The Ukrainian life insurance market remains relatively underdeveloped compared to other countries in the region, creating significant opportunities for further growth.
From a financial perspective, the agreement is also attractive for PZU Group. MetLife Ukraine has a strong capital position, high profitability (approximately 20% return on equity), and solid liquidity, creating potential for dividend payments.
"For PZU Ukraine, the acquisition means a significant increase in scale, access to a sales network that complements the existing PZU Ukraine network, expanded product capabilities, and an experienced team with a broad client base," the statement said.
According to the information, the PZU Group responsibly and proactively took into account the risks associated with investing in a country in armed conflict. The investment is insured by KUKE (Poland Export Credit Insurance Corporation from PFR Group), which provides protection against the negative consequences of a possible deterioration of the military or political situation.
"The PZU transaction is another foreign investment by a Polish entity in Ukraine, which was guaranteed by KUKE this year. The absence of political and force majeure risks, in particular those related to military actions, creates the potential for the safe development of our companies," said Janusz Władyczak, President of KUKE.
Macroeconomic data indicate a high level of stability of the Ukrainian economy, gradual stabilization of inflation and prospects for moderate GDP growth in the medium term, the report said.
As reported, PrJSC MetLife is part of the global MetLife corporation. It has been operating in Ukraine since 2002 and is the leader of the Ukrainian life insurance market.
