FöreningsSparbanken and Folksam transfer their respective stockholdings
FöreningsSparbanken and Folksam transfer their respective stockholdings in SparLiv and SparFond to each other and start collaboration in the property insurance sector FöreningsSparbanken and Folksam have decided to define clearly and streamline their until-now joint operations in the fund insurance and life insurance sectors. These operations have been carried out in the companies, SparFond and SparLiv, which are owned in equal parts by FöreningsSparbanken and Folksam. FöreningsSparbanken and Folksam have therefore agreed that FöreningsSparbanken will buy half of the shares in SparFond from Folksam and that Folksam will buy half of the shares in SparLiv from FöreningsSparbanken. At the same time, a small proportion of SparLiv's insurance stock, which has a direct link to FöreningsSparbanken's lending operations, will be transferred to SparFond. Following the transfers, SparFond will become a wholly-owned subsidiary of FöreningsSparbanken and Folksam will become the owner of all shares in SparLiv. In settlement of the transfers, FöreningsSparbanken will pay Folksam SEK 725M net. At the same time, FöreningsSparbanken and Folksam intend to begin collaboration relating to the sale of standardized property insurance to FöreningsSparbanken's customers, mainly in the private housing, summer house and other real estate insurance sectors. The transactions are subject to obtaining the requisite permits from the Authorities. For further information, please contact: Reinhold Geijer, President and CEO, FöreningsSparbanken, tel +46 8-585 92170 Tore Andersson, President Folksam, tel +46 8-772 66 10 Peter Nilsson, President of SparLiv and SparFond, tel +46-8 657 22 56 Einar Frydén, Head of Information, FöreningsSparbanken, tel +46-8 585 91630, 70-511 0033 SparLiv carries out operations in the life insurance, health insurance, accident insurance and group life insurance sectors. SparFond carries out fund insurance operations in accordance with the legislation regarding life insurance linked to securities funds. Fund insurance is characterized by the fact that it is the customer who directs his investment to requested funds. In 1997, SparLiv reported premium income of SEK 710M and at the 1997 year-end managed a capital of SEK 5,963M. Corresponding figures on SparFond's part amounted to SEK 6,130M and SEK 9,726M, respectively.