NRMA buys State Insurance

Australia's largest general insurer has secured a beachhead in the New Zealand market, buying State Insurance from CGNU for $A325 million ($406 million).

State, which employs 1400 staff and has a 19% share of the general insurance market, made an $18.6 million profit in 1999 on total assets of $486 million.

The foray is the first for NRMA into New Zealand but managing director Eric Dodd said State was "a good strategic fit" with complementary people, products and culture.

The company planned to save about $10 million a year by changing the distribution and claims network. The acquisition is expected to be earnings positive within 18 months.

Comments from our readers

No comments yet

Add your comment:

Your name:
Your email:	Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Anti-spam verification:

Type the text you see in the image into the field below. You are asked to do this in order to verify that this enquiry is not being performed by an automated process.

Related News:

WCO - Acquisition of Civic Waste, Convertible Note & SPP
ATM - FY25 revenue guidance and dividend policy
November 22th Morning Report
General Capital Announces Another Profit Record
Infratil Considers Infrastructure Bond Offer
Argosy FY25 Interim Result
Meridian Energy monthly operating report for October 2024
Du Val failure offers fresh lessons, but will they be heeded in the long term?
November 19th Morning Report
ATM - Appointment of new independent NED