Insurance company Ageas has reached an agreement to purchase the remaining 25% stake in Belgian subsidiary AG Insurance from BNP Paribas Fortis for €1.9bn ($2.3bn).  

The acquisition is intended to support Ageas’ Elevate27 strategy by prioritising its expansion in consolidated and cash-producing areas. 

With this transaction, Ageas will hold all shares of AG Insurance, giving it complete ownership.  

This development allows Ageas to operate as a fully integrated insurer in Belgium, active in both life and non-life sectors.  

The arrangement also includes a renewed bancassurance partnership between Ageas and BNP Paribas, confirming BNP Paribas as the main shareholder and partner of Ageas.  

Ageas CEO Hans De Cuyper said: “I am pleased to announce this new important milestone for Ageas and another significant step in implementing our Elevate27 strategy.  

“Taking full ownership of AG Insurance enables us to further advance our Belgian operations, building on the re-confirmed bancassurance partnership with our long-standing partner, BNP Paribas Fortis.”  

Under the new agreement, BNP Paribas Group’s holding in Ageas is capped at just under 25%, with the option to extend the agreement automatically after five years. 

BNP Paribas will have the right to nominate one member to the Board of Directors of both Ageas and AG Insurance, linked to the bancassurance partnership.  

The board representation is subject to the terms of their ongoing cooperative agreements. 

For financing, Ageas plans to use a mix of sources: an equity placement involving 18.5 million shares at €60 per share issued to BNP Paribas Cardif, along with existing cash, current credit facilities and debt market options.  

BNP Paribas Cardif’s capital contribution through this equity placement amounts to €1.1bn.  

Upon completion, BNP Paribas Cardif’s shareholding in Ageas is expected to increase from 14.9% to 22.5%. 

This follows Ageas’ acquisition of the Esure Group earlier this year. 

AG Insurance and BNP Paribas Fortis have extended their bancassurance cooperation for another 15 years, starting in 2027. 

In addition, AG Insurance and BNP Paribas Asset Management are set to enhance their relationship in investment management across specified asset classes, following recent changes at AXA IM. 

Completion of this transaction is subject to regulatory approval and set for the second quarter of 2026. 

BNP Paribas CEO Jean-Laurent Bonnafé said: “We see significant potential in the growth prospects of BNP Paribas Fortis’ bancassurance business through the partnership with AG Insurance, as well as the deployment of our new asset management platform’s expertise created through the combination of BNP Paribas AM and AXA-IM.  

“We are also pleased to support Ageas’ long-term development, under the chairmanship of Bart De Smet and the leadership of Hans De Cuyper.”