Aetna international, the international subsidiary of Aetna Inc., Hartford, said it has entered into an agreement to sell its international offshore funds business to Aberdeen Asset Management PLC for $8 million in cash.
'The sale of the offshore funds is in keeping with Aetna International's strategy to sharpen its focus on building and expanding its core health and financial services businesses,' said Frederick Copeland, president and CEO of Aetna International.
Aetna International currently manages $325 million in assets, which are subadvised by European companies and are marketed under the Aetna name, said a company spokeswoman.
The acquisition for the U.K.-based Aberdeen will provide the company with a platform to develop its business in Europe, according to a company release. Aberdeen has $22 billion in assets that it manages worldwide.
Aetna's move to sell the funds came as little surprise to analysts.
'Their focus is on garnering a lot of health business as well as life [insurance] and pension business,' said Douglas Meyer, an insurance analyst with Duff & Phelps Credit Rating Co. in Chicago. 'This sale is not that significant in terms of their entire international operation.'
