LONDON--HSBC Holdings PLC (HBC) said Thursday Household
Insurance Group Holding Company, an indirect wholly owned
subsidiary, has entered into an agreement to sell its insurance
manufacturing business in the U.S. to Enstar Group Ltd. (ESGR) for
181 million dollars in cash.
MAIN FACTS:
-Consideration will be adjusted to reflect the actuarial
valuation and capital of the Business at the closing date.
-Business comprises the 100% interest held by Household
Insurance Group Holding Company, a wholly owned subsidiary of HSBC
Finance Corporation, in each of HSBC Insurance Company of Delaware
and Household Life Insurance Company of Delaware, which provide a
variety of insurance products to customers of HSBC Group companies
in North America.
-Sale is expected to close by the end of the first quarter of
2013 and represents further progress in the execution of the HSBC
Group strategy.
-Shares in London at 1310 GMT up 6 pence, or 10%, at 547 pence
valuing the Company at 99.06 billion pounds.
-Write to Ian Walker at ian.walker@dowjones.com
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