TOKYO (Reuters) - Japan's MS&AD Insurance Group Holdings Inc (T:8725) said on Friday it had agreed with Swiss Re AG (S:SRENH) to invest 800 million pounds ($1.05 billion) to take a stake of up to 15 percent in UK-based ReAssure Jersey One Ltd.
MS&AD said it would initially buy 5.0 percent of ReAssure from Swiss Re for 175 million pounds in cash, aiming to close the transaction in the first quarter of 2018, pending regulatory approval.
The remainder of the 800 million pound investment, in the form of new shares, would be completed within three years from the closing of the initial purchase, it said in a statement.
Shares of MS&AD were up 1.1 percent in early trade, while Tokyo's benchmark Nikkei average (N225) was up about 0.4 percent.