Montepio to sell share in CUF company for €1 million

 In Companies, Financial services, News

The mutual financial services company Montepio is to sell its 27% share in the health and safety at work company Sagies (Group CUF) for €1 million.

Sagies has been in the market for 30 years. CUF has a 70.5% shareholding in the company and is now preparing to buy AMMG’s share for €1.05 million.
CUF, which manages a network of 20 hospitals and clinics all over the country, will now control 97.5% of Sagies, while the other 2.5% is in the hands of Cruz Vermelha. (Red Cross)
The operation is still subject to consideration by the Montepio Group’s assembly of representatives that had replaced the general board, but with greater powers, such as being able to vote down budgets and accounts and decide on the sale of shareholdings in the group, among others. The assembly will meet at an extraordinary session on 27 October.
The same session of the assembly of representatives will also discuss the reorganisation of its insurance arm after the Portuguese regulator gave the green light to the winding up of Montepio Seguros.
By scrapping the holding, approved by the Portuguese Insurance and Pension Funds Authority (ASF) at the end of last month, AMMG aims to simplify the mutual society’s structure and make savings.
The two insurance companies Lusitânia and Lusitânia Vida will now be wholly held by AMMG led by Virgílio Lima which will have to inject €7.5 million into Lusitânia in an operation that aims to reinforce its solvency ratio, thereby meeting regulations set by the regulator.