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BRIEF-AMP Announces Revised Agreement For Sale Of AMP Life

Published 08/08/2019, 07:58 am
Updated 08/08/2019, 08:00 am
© Reuters.  BRIEF-AMP Announces Revised Agreement For Sale Of AMP Life
AMP
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Aug 8 (Reuters) - AMP Ltd AMP.AX :

* REVISED AGREEMENT FOR SALE OF AMP LIFE

* REVISED AGREEMENT DELIVERS A CONSIDERATION OF A$3.0 BILLION

* REVISED AGREEMENT DELIVERS A CONSIDERATION OF A$3.0 BILLION

* ANNOUNCES A REVISED AGREEMENT WITH RESOLUTION LIFE, WITH UPDATED TERMS, FOR SALE OF AMP LIFE

* SALE IS NOW EXPECTED TO COMPLETE IN 1H 20

* CASH PROCEEDS OF A$2.5 BILLION FROM SALE WILL BE USED TO FUND SEPARATION COSTS REPAY DEBT AND FUND CAPITAL DIS-SYNERGIES

* BOARD CONSIDERS THAT SALE OF AMP LIFE DELIVERS BEST OUTCOME FOR POLICYHOLDERS, COMPANY AND ITS SHAREHOLDERS

* CONSIDERATION INCLUDES A$500 MILLION EQUITY INTEREST (EXPECTED TO BE AROUND 20 PER CENT) IN RESOLUTION LIFE AUSTRALIA

* REAFFIRMS ITS COMMITMENT TO REMOVE STRANDED COSTS OF A$40 MILLION PER ANNUM

* AMP-REAFFIRMS COMMITMENT TO FULLY OFFSET IMPACT OF UNWINDING OF DISTRIBUTION ARRANGEMENTS OF A$65 MILLION PER ANNUM THROUGH ACTIONS FROM ITS NEW STRATEGY

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