Voya plans to buy majority of Allianz’s U.S. asset management business

May perhaps 17 (Reuters) – U.S. insurance plan program service provider Voya Economic Inc (VOYA.N) claimed on Tuesday its expense management device would consider around “a significant the vast majority” of Germany-based mostly Allianz’s (ALVG.DE) asset management organization in the United States.

The announcement comes just after Allianz agreed to fork out about $6 billion and its U.S. asset management unit agreed to plead responsible to fraud in excess of the collapse of its multibillion dollar Structured Alpha cash amid current market turmoil induced by the COVID-19 pandemic. browse extra

Voya reported it has entered into a memorandum of comprehending with Allianz World wide Buyers (Allianz GI), the asset administration division of Allianz. Below phrases of the proposed partnership, Allianz GI would get a stake of up to 24% in Voya’s financial commitment management small business.

Voya claimed it is anticipating a buy arrangement to be finalized in the upcoming handful of months.

Just after the deal, Voya’s investment decision management unit will deal with approximately $370 bln of assets, the company explained. The planned acquisition will have to have no exterior financing or use of Voya’s extra cash, it included.

Reporting by Niket Nishant in Bengaluru Enhancing by Krishna Chandra Eluri

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