AXA Terminates Sale of Life and Pensions Portfolio and Signs Reinsurance Deal

AXA announced the termination of a previously planned sale of a closed life and pensions portfolio from AXA Germany. The agreement, initially set with Athora in 2022, was mutually terminated, leaving the portfolio under AXA's management. This change is said to have no impact on the company's financial projections under its "Unlock the Future" strategic plan.

In a separate development, AXA's subsidiary, AXA Life Europe, has entered into a reinsurance agreement with New Reinsurance Company. This agreement pertains to approximately €3 billion in Variable Annuity reserves. Expected to reduce AXA's annual underlying earnings by around €20 million from 2024, a corresponding share buyback program of €0.2 billion has been planned to counterbalance the earnings dilution. This move is projected to have a minor negative impact on AXA Group's Solvency II ratio, estimated at around -1 point.