Aviva to sell RAC for £1bn

The transaction values RAC at 17 times 2010 net earnings. Completion of the deal, which is subject to regulatory and competition approvals, is expected at the end of Q3 2011. Andrew Moss, group chief executive of Aviva, said: "The sale of RAC is another important step for Aviva and realises significant value for our shareholders. "Together with the recent partial disposal of Delta Lloyd, it demonstrates clear delivery of our strategy and provides the flexibility to deepen our presence in the priority markets where we have strength and scale." The proceeds of the sale, which will be...