In compliance with our relevant information reporting obligations, Grupo de Inversiones Suramericana S.A. ("Grupo SURA") hereby announces that today its subsidiary Suramericana S.A. has entered into a share purchase agreement (the "Transaction") whereby it is selling its operation in Argentina. This agreement governs the sale of 4,512,697,946 shares held by Seguros Sura S.A. - Argentina - to Sudamericana Holding S.A., which belongs to Grupo Galicia.
With this Transaction, Suramericana S.A. Is selling its entire stake in Seguros Sura S.A. - Argentina - for a price of USD 19,000,000, subject to a price adjustment mechanism on the closing date; this with a view to restructuring its operations in Latin America and optimizing its capital management function in order to consolidate and maintain its regional footprint.
This price was agreed upon by both parties using well-recognized technical valuation methods such as the discounted cash flow methodology, among others.
This Transaction is subject to the corresponding approval being granted by the Argentinian Superintendency of Insurance (Superintendencia de Seguros de la Nación de Argentina) together with any other applicable authority.