Santander and AEGON have announced they will create a new life insurance company.

AEGON will own 51% of the new business and Santander 49%.

The bank will distribute their insurance products via its joint branch network in Spain.

Santander and AEGON will share responsibility for managing the insurance products.

Santander will sign a 25-year contract to distribute insurance products.

The partnership combines AEGON’s experience and leadership in managing insurance and developing products with Santander’s extensive distribution capacity in the Spanish market.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData

Javier Marín, head of Santander’s global private banking, asset management and insurance division said: "This agreement will allow us to offer customers a wider and more innovative range of insurance products, co-managed by one of the world’s leading Insurers. It will accelerate our growth in the insurance business, thanks to the combination of the partners’ strengths."

The transaction will generate a pre-tax capital gain of €410m ($548m) for Santander.

The transaction requires authorisation from Spain’s Office for Insurance and Pensions and from the European Competition Authorities.

The deal is expected to close in the first half of 2013.