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Legal & General Group Plc (LGEN.L) Announced that it has agreed to sell its General Insurance (GI) business to Allianz Holdings plc. The proposed transaction, which is subject to customary regulatory approvals, is expected to complete in the second half of 2019. The financial consideration from the proposed sale consists of a base price of £242 million payable at completion and potential further payments over a three-year period from ongoing commercial arrangements. The base price is commensurate with IFRS book value. The company's Solvency II ratio is expected to increase by approximately 2% following completion of the transaction. The proceeds from the disposal will be reinvested in its attractive and growing core businesses. The GI business being sold comprises principally retail customers who hold household insurance policies. In 2018 gross written premiums were £410 million and operating profit was nil.
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