What You Need to Know
Genworth entered Australia’s mortgage insurance market in 1997, paying about $43 million to get in.
The firm has been raising cash by selling some of its operations.
The new deal could generate about $379 million in total proceeds.
Genworth Financial Inc. is preparing to hand off mortgage insurance operations in Australia that the company has owned since 1997.
The Richmond, Virginia-based company said Sunday that two subsidiaries have agreed to sell their 52% stake in Genworth Mortgage Insurance Australia Ltd. to institutional investors through an underwritten sale.
The names of the buyers were not disclosed.
The deal involves about 214.3 million shares of Genworth Australia. The price will be the equivalent of about $1.77 in U.S. dollars, giving the transaction a total value of about $379 million.