ERGO Group AG announced the sale of 100% of its life business in Russia to ROSGOSSTRAKH. The parties already signed an agreement and the deal is subject to approval by the regulatory authorities, as ERGO informed on its official website.

Based on the agreement, ROSGOSSTRAKH will take under control the whole ERGO Life, including personnel, client portfolio and IT-systems. Shareholder's change will not affect the obligations to all existing clients of ERGO.

"ROSGOSSTRAKH for us is a perfect investor with impressive long history on the Russian insurance market. Our life business in Russia is an ideal solution for ROSGOSSTRAKH, the company, which, according to its new business strategy, is trying to get back into the life market. This agreement for us is just the next logic step in further advancing our strategy on optimization of international business", explained Alexander ANKEL, the chief operations director of ERGO International AG.

In his turn, the general director of ROSGOSSTRAKH, Nikolaus FRAI said "based on our strategy 2021 we decided in the beginning of this year to come back to the life market as soon as possible. Acquisition of ERGO Life allows us to accelerate our development and provide products for millions of our customers in Russia through the banks of OTKRYTIE Group and through our own distribution channels".