The transaction, which was announced in October 2022, has been completed with AXA acquiring GACM España for a total cash consideration of $335 Million. This amount aligns with the initial agreement made between the companies.
The agreed-upon deal reflects a price-to-own funds multiple of 1x. Additionally, AXA anticipates an estimated price-to-earnings multiple of approximately 9x, taking into account the expected capital and cost synergies resulting from the acquisition.
Frédéric de Courtois, Deputy Chief Executive Officer of AXA, commented on the transaction during the negotiation phase, stating, “This transaction reflects our disciplined approach towards M&A in line with our strategy, enhancing our scale in one of our core European markets, with a focus on technical lines.”
With this acquisition, AXA is set to become the fourth largest insurance group in Spain, boasting a turnover of over $3.3 billion.
As reported by La Vanguardia, the deal will add three additional medical centers to AXA Spain’s portfolio, joining the existing Hospital Mompía in Cantabria and the two Pensa centers in Barcelona.
In recent months, AXA has also invested $950,000 in the remodelling of Mompía, with the construction expected to conclude in the second quarter of 2023.
