Ageas Sale of Malaysian insurance JV is positive and provides substantial surplus capital for M&A

Research evidence excerpt

Ageas Sale of Malaysian insurance JV is positive and provides substantial surplus capital for M&A

J P M O R G A N Europe Equity Research

03 August 2026

Ageas Neutral

AGES.BR, AGS BB

Sale of Malaysian insurance JV is positive and provides Price (31 Jul 26):€71.90

substantial surplus capital for M&A Price Target (Dec-27):€70.00

Ageas has announced the sale of its Malaysian insurance JV, with business in European Insurance

ACSingapore and Malaysia, for Eur1.1bn. This is a positive deal for Ageas, Farooq Hanif

representing a >15x 2025 P/E multiple and ~2x IFRS equity. It also raises Ageas's (44 207) 742-8091

cash resources and debt-raising capacity, which we believe leaves it well placed to farooq.hanif@jpmorgan.com

consider significant inorganic growth, should an opportunity arise – with the Bingdi Fan, CFA

potential sale of Ethias by the Belgian government a key potential target, should (44-20) 7742-5336

this arise over the next few years. bingdi.fan@jpmorgan.com

Kamran M Hossain

• Surplus capital and potential M&A war chest. The deal is expected to close (44-20) 3493-3780

in 2026. After this deal, Ageas will have ~€2bn of cash at its Holdco (2026E) kamran.hossain@jpmorgan.com

and a Solvency II ratio of ~220%. Following the acquisition of 100% Nadia Claressa

ownership of AG Insurance this year, Ageas's Belgian subsidiary, Ageas may (44-20) 7134-7613

also have access to further cash and capital resources in this subsidiary. nadia.claressa@jpmorgan.com

J.P. Morgan Securities plc

Furthermore, given the low debt leverage ratio currently (~18% debt leverage

ratio at end-2026E), we believe Ageas has significant debt capacity, especially Specialist Sales contact details:

in an M&A situation depending on the equity and leverage position of any Gigi Sparling - Specialist Sales -