Scotiabank closes sale of Dominican pension, insurance units

Scotiabank closes sale of Dominican pension, insurance units

M&A Corporate & Sovereign Strategy Dominican Republic Caribbean Canada

Canada's Scotiabank said it has closed the sale of its pension and insurance businesses in the Dominican Republic to the local investor Grupo Rizek.

Scotiabank did not disclose how much it earned from the sale of Scotia Crecer AFP and Scotia Seguros. In December last year, when it announced the sale, it said the deal was "not financially material" and would result in a 10bp increase in the bank's common equity tier one capital ratio.

Scotiabank announced in November last year that it was leaving nine markets in the Caribbean and had also agreed to sell its life insurance businesses in Jamaica and Trinidad and Tobago for a one-time gain of $250m. It then said in February that it had sold its banking and insurance businesses in El Salvador to Imperia, the main shareholder in Banco Cuscatlán and SISA Seguros, after taking a net loss of $170m.

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