- Bradesco Seguros S.A. to contribute its commercial large-risk portfolio to Swiss Re Corporate Solutions Brasil Seguros S.A. (SRCSB)
- Bradesco Seguros to take a 40% equity stake in SRCSB with the remaining 60% retained by Swiss Re Corporate Solutions Ltd
- SRCSB to have exclusive access to Bradesco Seguros' distribution network
- The partnership will create a leading commercial large-risk insurer in Brazil and allow innovative products to be delivered through an established distribution network
Swiss Re Corporate Solutions Ltd, the commercial insurance arm of Swiss Re Group, and Bradesco Seguros S.A., the insurance conglomerate of Bradesco Group, have signed definitive agreements under which Bradesco Seguros will contribute its commercial large-risk portfolio to Swiss Re Corporate Solutions Brasil Seguros S.A. (SRCSB). The agreements include SRCSB's exclusive access to Bradesco Seguros' distribution network. Upon closing the transaction, Bradesco Seguros will take a 40% equity stake in SRCSB, while Swiss Re Corporate Solutions Ltd will retain a 60% stake. As a result of the integration, SRCSB will become a leading commercial large-risk insurer in Brazil.
Bradesco Seguros' distribution network is comprised of more than 4 600 Bradesco bank branches across Brazil and approximately 40 000 insurance brokers and agents registered to Bradesco Seguros. As part of the transaction, Bradesco Seguros' team of professionals responsible for commercial large-risk business in São Paulo and Rio de Janeiro will join SRCSB. Agostino Galvagni, CEO of Swiss Re Corporate Solutions and a member of the Swiss Re Group Executive Committee, said: "We are very pleased to join forces with Bradesco Seguros to create a leading commercial large-risk insurer in the Brazilian market. This agreement helps us execute on our strategy to expand our platform and enhance our market position in Latin America. Bradesco Seguros' local knowledge and distribution channels coupled with our large net capacity and global underwriting expertise will allow us to deliver superior products to our Brazilian and international clients."
Randal Luiz Zanetti, President of Bradesco Seguros, said: "This transaction confirms Bradesco Seguros' strategic view of providing the best and largest range of products in all insurance lines to its customers. The choice to partner with Swiss Re Corporate Solutions aligns with our key objectives, as it provides even more international reach and expertise. Our relevant participation in the joint venture reinforces our belief that commercial largerisk insurance is a promising business in Brazil."
Completion of the transaction is subject to approval by the relevant authorities and other customary conditions.
About Bradesco Seguros Group
Bradesco Seguros Group, the insurance conglomerate of Bradesco Organization, is a leader in the Brazilian insurance market, with operations in national segments of Insurance, Capitalization and Open Pension Funds. In 2015, annual revenues of the Bradesco Seguros Group reached BRL 64.3 billion and, in the first half of 2016, the Group recorded a 6.9% increase in sales compared with the same period of 2015. Over the past decade, Bradesco Seguros Group has achieved average annual growth in the double-digits, reaching around 25% market share. Its technical reserves reached BRL 190.6 billion in June 2016 and financial assets amounted to BRL 250 billion in the same period. More information about the Bradesco Seguros Group can be found at www.bradescoseguros.com.br