Canada's Desjardins Group said on Wednesday that it would purchase State Farm Canada's businesses in property and casualty and life insurance, as well as its Canadian mutual fund, loan and living benefits companies.The exact terms of the transaction were not disclosed, but the businesses were being valued at around C$1.6 billion (US$1.46 billion) given the size of the cash infusions being made by the parties involved.The deal would transform Desjardins into the second-largest property and casualty insurance provider in Canada, with annual gross written premiums of about $3.9 billion, the Quebec-based cooperative financial group said.The deal, which is expected to close early in 2015 after necessary regulatory approval, would put Desjardins behind Canadian property and casualty market leader Intact Financial Corp, which sells insurance products under its namesake brand, as well as banners such as Grey Power and Belairdirect.
Intact Financial Corporation is a provider of home, auto and business insurance. Shares of IFC traded higher by 0.68% or $0.47/share to $69.40. In the past year, the shares have traded as low as $56.44 and as high as $69.89. On average, 241414 shares of IFC.TO exchange hands on a given day and today's volume is recorded at 233852.
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