Aviva Plans Sale Of Friends Provident Unit For Up To $750 Mln: WSJ Reports

(RTTNews) - U.K.-based insurer Aviva PLC is looking to sell Friends Provident International Ltd. in a deal that could fetch up to $750 million, the Wall Street Journal reported Tuesday, citing people familiar with the situation.

Aviva reportedly has received a number of pre-emptive offers for the unit. However, a formal bidding process is yet to start.

Chinese conglomerates Fosun Group and HNA Group are among those evaluating the unit, the report noted.

Aviva's Friends Provident unit serves high-net-worth clients in Asia and the Middle East. The company bought the business in April 2015, as part of a 5.6 billion pounds or $8.8 billion deal to acquire Friends Life Group Ltd.

Based in the Isle of Man, Friends Provident provides life assurance and investment products to global expatriate and domestic affluent customers in Hong Kong, Singapore, United Arab Emirates and other selected markets.

In its full-year 2016 financial report, the company noted that Friends Provident is under strategic review. Aviva's gross operating profit in Asia dropped 4% year over year in 2016, compared with a 12% increase in gross operating profit globally.