Italian insurance coverage main Generali has signed a deal with Liberty Mutual to amass Spanish insurance coverage firm Liberty Seguros for €2.3bn ($2.52bn).

Headquartered in Madrid, Liberty Seguros is the private strains and small industrial insurance coverage enterprise of the US-based Liberty Mutual.

Liberty Seguros’ operations in Portugal, Spain, Eire, and Northern Eire are a part of the deal.

The remaining European operations of Liberty Mutual, together with Liberty Specialty Markets, Liberty Mutual Reinsurance, Liberty Mutual Surety, Liberty IT, and Hughes Insurance coverage, should not part of this deal and can proceed to serve their respective markets.

With greater than 1,700 employees and places throughout the Western European market, Liberty Seguros reported premiums of €1.2bn ($1.31bn) final yr.

Liberty Seguros’ portfolio consists of insurance coverage options for non-life and life-risk merchandise.

For Generali, the acquisition additional bolsters its property and casualty (P&C) enterprise in Europe.

By means of the deal, Generali expects to maneuver as much as fourth place within the Spanish P&C market, keep its second-place place in Portugal, and enter Eire.

Generali CEO worldwide Jaime Anchústegui Melgarejo mentioned: “This transaction underlines the group’s dedication to Spain and Portugal whereas strengthening our European footprint, as we enter Eire with an vital market share.

“The complementary, worthwhile and diversified nature of the enterprise may also allow us to increase our brokers and dealer community and achieve new working experience within the direct enterprise.”

Liberty Mutual president and CEO Tim Sweeney mentioned: “This resolution additional helps Liberty Mutual sharpen our operational focus to ship distinctive worth throughout our channels, merchandise and markets.”

The businesses didn’t present details about the closing timeline for the deal, which is topic to regulatory approval.