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ERGO completes the acquisition of non-life insurer ADB Gjensidige in the Baltics
Through this transaction, ERGO expands its footprint across Lithuania, Latvia and Estonia, strengthening its local market position.
ERGO International AG, managing ERGO Group’s international business portfolio, today announced the closing of the acquisition of ADB Gjensidige, the former Lithuanian subsidiary of Norwegian non-life insurer Gjensidige Forsikring ASA, including its branches in Estonia and Latvia.
All conditions necessary for the completion of the transaction have been fulfilled according to schedule, such as the required regulatory approvals in Lithuania, Latvia and Estonia. In the upcoming transition phase, ADB Gjensidige will be integrated into ERGO by way of merger of the two companies, laying the foundation for sustained profitable growth in the years ahead.
With this strategic acquisition, ERGO reinforces its market position as third-largest insurance company in the region based on premium volume, building on ADB Gjensidige’s strengths as sixth-largest non-life insurer locally.
By integrating ADB Gjensidige into its operations, ERGO will combine the respective capabilities of both companies in the areas of products and sales across insurance lines. Moreover, ERGO will expand its sales network, becoming the second largest in the region. In terms of brand presence, the envisaged merger will enable ERGO to establish itself as the leading insurer in the Baltics by operating under a single brand across all three countries and lines of business.
The successful conclusion of this acquisition marks a significant step in the ambition to further develop our diversified, robust business and position ourselves sustainably among the leading insurance companies in all our markets. With this strategic move, we strengthen our position in the region for the long-term, enabling us to grasp attractive growth opportunities in a very dynamic business environment.
As we bring together the teams, skills and expertise of ERGO and ADB Gjensidige, we are ideally positioned to leverage our assets as a truly leading multiline insurance company in the Baltics. This new setup will bring us even closer to clients and partners in Lithuania, Latvia, and Estonia as we strive to provide tailored, comprehensive solutions and significant added value across our products and services.
The merger process of ADB Gjensidige and ERGO in the Baltics will commence as of now and proceed gradually until the end of the year.1 During this period, both companies will continue to operate as separate entities and ADB Gjensidige will retain its brand before being integrated into ERGO.
ERGO is one of the leading insurance groups in the Baltic States, operating through two distinct entities in the region: Fully owned by ERGO International AG, the Property & Casualty insurer ERGO Insurance SE and the life/health insurance company ERGO Life Insurance SE offer a comprehensive portfolio of non-life, life, and health insurance solutions. In 2024, both entities jointly generated insurance revenue of €343.5 million.
ADB Gjensidige is a major non-life insurer in the Baltics, mainly focusing on Motor, Property and Accident & Health insurance covers, distributed to commercial and private customers. In 2024, the company generated insurance revenue of €158.9 million.
The signing of the relevant agreement by ERGO International AG and Gjensidige Forsikring ASA underlying this transaction was initially announced on 25 July 2024.
1The integration of ADB Gjensidige, including its branches, into ERGO is planned via a merger between ADB Gjensidige and ERGO Insurance SE as absorbing company. Upon completion of the merger, ADB Gjensidige’s health insurance portfolio will be assumed by ERGO Life Insurance SE.
ERGO is one of the leading international insurance groups and operates in over 20 countries worldwide. The Company offers its retail and corporate customers a broad product portfolio in all the main classes of insurance as well as comprehensive assistance and other services. Three units operate under the umbrella of ERGO Group AG: ERGO Deutschland AG, ERGO International AG and ERGO Technology & Services Management AG. The German and international businesses as well as the global management of IT and technology services are organized in these units. About 37,000 people work either as salaried employees or self-employed sales representatives for the Group. In the 2024 financial year, ERGO generated insurance revenue of 20.8 billion euros and a net result of 810 million euros. ERGO is part of Munich Re, one of the world's leading reinsurers and risk carriers. More at www.ergo.com
This media information contains forward-looking statements that are based on current assumptions and forecasts of the management of ERGO Group. Known and unknown risks, uncertainties and other factors could lead to material differences between the forward-looking statements given here and the actual development, in particular the results, financial situation and performance of our Company. The Company assumes no liability to update these forward-looking statements or to conform them to future events or developments.
