By Megumi Fujikawa
TOKYO-- Sompo Japan Nipponkoa Holdings Inc. said Friday that it
has decided to spend about $915 million to buy a stake in French
reinsurance giant Scor SE.
In an attempt to gain stable profits from the commercial
insurance field in Europe and the U.S., the Japanese insurer plans
to acquire 15% or more of the world's fifth-largest reinsurer's
shares outstanding from Patinex AG, which is the Paris-based firm's
largest shareholder.
Established in 1970, Scor has a market capitalization of EUR5.55
billion. Through its ownership of Generali U.S., which it purchased
in 2013, it is one of the biggest life reinsurers in North
America.
"Sompo Holdings has determined to proceed with this capital
participation with the goal of further expanding our overseas
insurance businesses," the company said in a statement.
Sompo, which was founded through the consolidation of Sompo
Japan and Nipponkoa Insurance in 2010, also plans to propose the
nomination of one representative to Scor's board.
Earlier this week, Scor, which is listed on Euronext Paris,
reported that its net income for 2014 fell to EUR512 million from
EUR549 million.
Shawn Schroter contributed to this article.
Write to Megumi Fujikawa at megumi.fujikawa@wsj.com
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