July 15, 2011

Zurich Financial Services Group signs definitive agreements with Banco Santander SA to enter into a long-term joint venture in Latin America with an equity value in excess of $3.25 billion.

On July 14, Willkie client Zurich Financial Services Group announced that it has signed definitive agreements with Banco Santander SA to enter into a long-term alliance in Latin America.  Zurich and Madrid-based Banco Santander have agreed to enter into a 25-year strategic distribution arrangement in Latin America. As part of the transaction, Zurich will acquire a 51 percent stake in the life insurance, pension and general insurance operations of Santander in Brazil, Mexico, Chile, Argentina and Uruguay, including the respective distribution agreements. The business has a value in excess of $3.25 billion. The alliance with Santander provides Zurich with access to over 5,600 bank branches and an additional 36 million customers in the region, furthering Zurich’s emerging-market strategy in both Global Life and General insurance. The deal is expected to close before the end of the year.

Zurich Financial Services Group is a leading multi-line insurance provider with about 60,000 employees serving customers in more than 170 countries. The Willkie deal team, led by partner Thomas Cerabino, included partners Adam Turteltaub, Mark Getachew, Leah Campbell, Ian Levin and Richard Reinhold; special counsel Kim Walker; and associates Peter Agnetti, Daniel Sirkin, Marshall Silver, Jason Ertel, Maria-Leticia Ossa-Daza, Christian Ercole, Michael Hilkin and Matthew Kaplan.