Allianz agrees bankassurance deal with BBVA: sources

MUNICH/MADRID (Reuters) – German insurer Allianz has struck a deal to invest in the bancassurance business of Spanish lender BBVA , two sources close to the matter told Reuters, adding that an announcement could come as early as Monday.

The two financial institutions will cooperate in property and casualty insurance, but not in life insurance, the people said, adding that it will be worth significantly less than the originally muted 1 billion euros in deal size.

If successful, it would give Allianz a platform to revive its Spanish distribution network after a previous agreement with Banco Popular came to an end following Popular’s sale to Santander in 2017.

BBVA’s entire insurance network provides everything from life to health, home and car insurance.

Allianz and BBVA declined to comment.

(Reporting by Alexander Hbner and Jesus Aguado; Writing by Arno Schuetze; editing by Emma Pinedo)