French insurance group Axa is reported to have ruled out big acquisition rumors in the UK that would benefit the life assurance company. Instead, it is to concentrate on smaller deals, the Financial Times reports.
The insurance firm was rumored earlier this year to be considering deals with major British insurance groups Aviva, Standard Life, TSB’s Scottish Widows and Friends Provident.
However, these rumors have been quashed, for the moment at least, with Axa CFO Denis Duverne telling the Financial Times, We do not believe we need to do anything major in terms of major strategic moves in the UK that would require recourse to our shareholders.
The French company is, however, interested in smaller acquisitions and bringing in new products to combat the problems in the UK, its worse performing market, Mr Duverne intimated.
According to the FT, Axa aims to increase its new business profit margins to 15% from 9.1% within three to five years.