Amadeusz Juskowiak

Transamerica sells occidental life australia

Equity investment company Battery Group Ltd said it had agreed to buy Occidental Life Insurance Co of Australia Ltd from TransAmerica Corp TA of the US For 105 mln Australian dlrs

The acquisition has been made possible by the efforts of its major shareholder Pratt and Co Financial Services Pty Ltd Battery Group said in a statement

The purchase will be partly funded by the issue of eight mln shares at 450 dlrs each and four mln free options to the Pratt Group controlled by entrepreneur Dick Pratt plus four mln shares to professional investors at 450 each it said

The balance will be funded by debt Battery Group said

The acquisition is subject to the approval of its shareholders

On completion of the share placements Pratt Group will effectively have 51 pct of Batterys enlarged capital assuming exercise of all options it said Battery now has 22 mln shares on issue

Battery said Occidental Life is a major underwriter of individual term life insurance and a recent but fastgrowing entrant in the individual account superannuation market

It has some 200 mln dlrs in funds under management