Company announcement no. 10 2021
Danske Bank A / S
20 December 2021
Danica Pension divests its retirement activities in Norway
Today Danica Pension announces the sale of its Norwegian activities to a Norwegian financial group Store brand.
With the sale, Danica Pension is further focusing its activities and is now in an even stronger position to develop the best pension solutions for its clients in Denmark.
“Our clients in Denmark will benefit from an even more targeted pension provider, and our Norwegian clients will now have a new owner to further stimulate the development of the business. Combined with the fact that the deal is strategically the right choice for Danica Pension, we believe it is a very good solution for all parties ”, says Ole Krogh Petersen, CEO of Danica Pension.
In recent years, Danica Pension’s Norwegian activities have grown significantly and generated strong financial results.
“We are proud of the growth and results we have created in the Norwegian pension market and the solid foundation our Norwegian colleagues have laid. Danica Pension in Norway is coming to the end of a period of successful strategy, which has caused us to reconsider our presence in Norway and determine if we are the right owners to move the company forward in its development. We came to the conclusion that our clients and Danica Pension would be better off with a new owner ”, says Ole Krogh Petersen.
Danica Pension in Norway has around 29,000 personal pension plans and just over 60,000 personal insurance policies. The company has approximately 14,000 business customers, 100 employees and NOK 30.4 billion in assets under management.
As part of the deal, the new owner will provide attractive solutions and terms to Danske Bank customers, and a long-term partnership agreement between the buyer and Danske Bank will ensure the continued development of products and offerings from products to Danske Bank customers in Norway.
“We have been a player in the Norwegian market for 150 years, and the Norwegian market will remain important for Danske Bank. However, the sale of the Norwegian part of the retirement business at an attractive price represents a very good opportunity for us to implement our strategy of simplifying and strengthening our business. This will allow us to focus on the retirement market in Denmark, which is a market in which we have a very strong position with a good value proposition and are generating satisfactory and profitable growth. We are now even better placed to continue this momentum in the years to come ”, says Glenn Söderholm, Head of Residential and Corporate Clients at Danske Bank and Chairman of the Board of Danica Pension.
The deal is expected to result in a one-time gain for Danske Bank A / S of around DKK 400 million. This is not expected to impact Danske Bank A / S’s net profit in 2021, as payment of the purchase price awaits the transaction to close. The sale is subject to the approval of the Norwegian Financial Supervisory Authority and the Norwegian Competition Authority, which is expected in the first half of 2022.
For more information, please contact Danica Pension’s communications manager, Tim Smidemann, on +45 23 48 26 51 or [email protected]