French insurance and investment firm Axa has been exploring opportunities to sell Middle East operations. The firm is working with HSBC on its strategic sell off plan, media reports said.
According to a report, the Axa Middle East sale could be worth $442 million, while another report said it could be worth $883 million.
It appears that Axa is also looking for a buyer in central and eastern Europe. In 2018 the firm had raised approximately $$3.2 billion through the initial public offering (IPO) of its American life insurance unit Equitable Holdings.
Equitable Holdings was established in 1859. Earlier this month, it was reported that Axa Equitable Holdings plans to drop Axa from its name as it is breaking free of the group. The rebranding came after its IPO last year, media reports said.
Axa had purchased Equitable Holdings in 1992. In 2018, Axa acquired XL Group for $15 billion to boost its commercial and non-life insurance. XL Group acquisition was expected to complement and diversify Axa’s insurance portfolio. Also, it would enable the firm to provide alternate capital using its reinsurance capabilities.
The firm offers life insurance and property and casualty insurance across the Middle East, including Lebanon. Axa’s operational presence also extends to the Kingdom of Saudi Arabia, the UAE, Bahrain, Qatar and Oman.
The operations come under Axa’s international division. However, the firm’s revenues from the Gulf region has reduced after a client slashed the size of its motor fleet, media reports said.