See accounting policy N.
On 1 April 2021, a.s.r. completed the acquisition of Brand New Day IORP by acquiring the remaining 50% of outstanding shares for a total consideration of € 70 million.
Brand New Day IORP offers DC plans in the small and medium entity market. This acquisition fits into a.s.r.’s strategy to grow through bolt-on acquisitions. The closing for the transaction took place on 1 April 2021. As a result, a.s.r. fully included the results and the balance sheet positions in the a.s.r. consolidated financial statements from that date. The full integration of the activities of Brand New Day IORP into a.s.r. is likely to be completed by the end of 2022.
The balance sheet is based on fair value and uses the following techniques and assumptions:
The intangible assets recognised mainly relate to customer relationships. The valuation techniques used to measure the fair value is based on the Multi-period Excess Earnings Method.
balance sheet based on fair value
|Investments related to investment contracts||1,524|
|Loans and receivables||1|
|Cash and cash equivalents||3|
|Liabilities arising from investment contracts||1,524|
|Deferred tax liabilities||6|
|Net assets and liabilities||26|
|Previous held interest||28|
|Excess purchase consideration||-71|
The goodwill recognised of € 71 million is not tax deductible and mainly consists of cost and asset management synergies.
|Consideration paid in current year||70|
|Acquired cash and cash equivalents||3|
|Decrease in cash and cash equivalents at acquisition date||67|
The previously held interest in Brand New Day IORP was revalued to its fair value of € 28 million at the acquisition date. The revaluation of € 24 million was included in line item realised gains and losses in the income statement.
The consolidated statement of comprehensive income of a.s.r. includes € 11 million revenue and € 2 million result after tax relating to Brand New Day IORP for the period commencing 1 April 2021. The revenue and result of the combined entity for the current period, as though the acquisition date for the business combination of Brand New Day IORP had been as of the beginning of 2021, would have been € 14 million revenue and € 3 million result after tax. The acquisition-related costs recognised as expense amount to € 0.3 million and are included in line item other expenses in the income statement.
On 23 December 2021, ASR Infrastructure Renewables B.V. completed the acquisition of part of the Princess Ariane wind farm by acquiring the assets and liabilities of Vattenfall Windpark Wieringermeer Ext B.V. (Wind farm Wieringermeer) for a total consideration of € 324 million.
As a result, a.s.r. will be the owner of part of the largest Dutch onshore wind farm. In this way, a.s.r. makes a positive contribution to the energy transition and to preserving a sustainable living environment. a.s.r. fully included the results and the balance sheet positions in the a.s.r. consolidated financial statements from 23 December 2021.
The value of the acquired assets and liabilities are included in the disclosure below. The fair value of the acquired plant is not final yet, awaiting the final settlement of costs and benefits related to the period before the acquisition date.
balance sheet based on fair value
|Property, plant and equipment||370|
|Non current liabilities||48|
|Net assets and liabilities||324|
No cash and cash equivalents were acquired.
The a.s.r. Solvency II ratio is not significantly impacted as a result of the acquisition.
In 2021, Van Kampen Groep Holding B.V. acquired an entity in the Distribution and Services segment.
On 1 January 2020, a.s.r. acquired 100% of the shares of VvAA Levensverzekeringen N.V. (VvAA life). a.s.r. established the final acquisition balance sheet of VvAA life in December 2020.
On 1 January 2020, ASR Schadeverzekering N.V. (a.s.r. non-life) acquired 100% shares of Veherex Schade N.V. (Veherex). a.s.r. non-life established the final acquisition balance sheet of Veherex in December 2020.
In 2020 Van Kampen Group Holding B.V. and Certitudo Investments B.V. acquired several entities, among others CS Opleidingen B.V. a.s.r. established the final acquisition balance sheets in 2021.