Allianz is in talks with advisors of The Automobile Association (AA) regarding a possible acquisition of the British company, according to information from Sky News cited by Insurance Business. The operation would allow the German insurer to add to its British platform the roadside assistance business and the AA's member base, totaling 16 million people, as well as one of the largest motor and home insurance brokerage operations in the United Kingdom. Allianz already controls LV= General Insurance, the second largest Non-Life insurer in the British market.
Meanwhile, the RAC (Royal Automobile Club), another major British roadside assistance operator with approximately 15.5 million members, is also studying a stock market listing. The RAC sells roadside assistance, vehicle recovery, and related automobile services, in addition to having activities in insurance and other mobility services.
The RAC was founded in 1897 and became a company in 1999, currently owned by three financial investors: CVC Capital Partners, a European private equity firm, GIC, Singapore's sovereign wealth fund, and Silver Lake, a private equity firm specializing in technology and growth company investments. The newspaper reports that the value shareholders have as a reference for a possible IPO in London is 5 billion pounds (5.8 billion euros), with the process delayed until the end of 2026.
The AA, founded in 1905 and also converted into a company in 1999, is similarly valued at 5 billion pounds, which is the figure cited for a possible acquisition by Allianz, according to Sky News and Reuters. The operation is still in the discussion phase and there is no agreement yet between the German insurer and AA's shareholders, who are TowerBrook Capital Partners, Warburg Pincus, and Stonepeak, since 2021.
