Standard Life offloads more properties in Canada
Insurance group Standard Life has said that the recent sales of offices in Canada would bolster its bottom line this year, as it attempts to cut its exposure to property as an asset class.
Insurance group Standard Life has said that the recent sales of offices in Canada would bolster its bottom line this year, as it attempts to cut its exposure to property as an asset class.
Following on from the disposal of two properties last month, the company announced on Wednesday morning that it had sold a further two offices in Eastern and Central Canada.
The four sales will contribute to operating profit before tax for the year ending December 31st with the aggregate one-off contribution expected to be total around £140m.
The company said in November that it had renegotiated a reinsurance agreement in Canada which helped to improve its risk profile.
"At Standard Life, our focus is on maximising shareholder value and driving more effective management of liabilities. Today we have announced transactions in Canada intended to achieve that purpose," said Chief Financial Officer Jackie Hunt.
"We have taken advantage of significant demand in the market for premier quality investment properties across Canada, while at the same time reducing exposure to property as an asset class.Excluding these transactions, our Canadian business continues to trade in line with expectations."