Topdanmark divests Topdanmark Liv Holding to Nordea for a goodwill consideration of DKK 1.5 billion in excess of the book value of shareholders’ equity as of the closing date – indicating a value of DKK 4.5 billion of Topdanmark Liv based on most recent reported shareholders’ equity (to be updated at closing).
Topdanmark Liv is the 5th largest commercial life insurance provider in Denmark with close to DKK 100 billion in assets under management and more than 220,000 customers. The foundation of Topdanmark was laid more than 120 years ago (1898/99) with the inception of Mejeriernes Ulykkesforsikring and Arbejdsgivernes Ulykkesforsikring that later merged in 1972 effectively establishing Topdanmark Liv.
The transaction will transform Topdanmark into a pure play Property & Casualty (“P&C”) insurance provider.
Topdanmark is Denmark’s 3rd largest non-life insurance company. It has a non-life market share of around 17%. Private lines make up some 53% of non-life premiums while SME/Commercial lines make up the remaining 47%. From a business lines perspective, Motor & Property make up 66% of total premiums, with Workers’ Compensation and Accident & Health being the other relatively large segments. The company has a strategic alliance with Nordea that distributes Topdanmark’s non-life products through its branch network. Topdanmark is listed on Nasdaq OMX Copenhagen. Sampo holds 48% of the shares in Topdanmark.