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Insurance company Aegon (Netherlands) has completed M&A on mergence of Merrill Lynch insurance divisions

14 January 2008

Netherlands insurance company Aegon NV has accomplished the purchase of insurance divisions Merrill Lynch - Merrill Lynch Life Insurance Co. and ML Life Insurance Co. of New York - for 1,3 billion dollars Aegon has completely paid the stipulated sum to the American bank.

According to Reuters.com, Aegon NV’s net profit, which is one of the leaders in the European insurance market, has decreased by 17 % - to €1,9 billion for 9 months of 2007 in comparison with €2,29 billion received for the same period a year earlier. Aegon’s revenues for the accounting period have increased by 9 % and made €29,46 billion compared to €27,02 billion in January - September, 2006.

Merrill Lynch has become one of the largest victims of the mortgage crisis in the USA among investment banks. In III quarter of 2007 Merrill Lynch has discarded actives for the sum of $7,9 billion guaranteed with mortgage credits, and also the credit derivatives, which had depreciated as a result of the credit crisis.


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