Sunday, October 2

CaixaBank pays 571 million to Mapfre for the breakdown of the bancassurance agreement

Caixabank and Mapfre have agreed that the bank will pay the insurer 570.8 million euros for the termination of the bancassurance agreement that Mapfre had with Bankia, a process that began after the integration of said bank into CaixaBank last March, as reported by both companies to the National Securities Market Commission (CNMV).

The parties have reached an agreement whereby CaixaBank will buy 51% of Bankia Vida from Mapfre for 323.7 million euros, an amount equivalent to 110% of the market value of the life business determined by an independent expert appointed by both parties.

In addition, CaixaBank has paid Mapfre 247.1 million euros in compensation for the termination of the agency contract for the distribution of non-life insurance, an amount equivalent to 110% of the value of the new production (excluding the current portfolio) of the non-life business determined by the independent expert.

In any case, the two entities have agreed to arbitrate Mapfre’s right to receive an additional 10% of the values ​​of the life and non-life businesses, as well as CaixaBank’s obligation to pay said amount.

This additional compensation that will be submitted to arbitration procedure has a value of up to 52 million euros, so the final amount that Mapfre would receive could rise up to 623 million euros.

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