Aviva has agreed to sell US equity management business River Road to Affiliated Managers Group.

River Road was bought by Aviva's subsidiary Aviva Investors in 2009. Group Chief Strategy and Development Officer of Aviva Jason Windsor said the disposal is in line with the company's strategy of simplifying its business.

"A simpler, more focused business will help Aviva Investors become a stronger third party manager and increase its contribution to the group," he said.

"Aviva Investors is focused on becoming a fully-integrated asset manager offering products that deliver client outcomes with low volatility. A boutique US equity manager does not fit with this strategy. We look forward to a continued relationship with River Road."

The sale represents a modest premium to group net asset value and will increase the Insurance Groups Directive solvency surplus and economic capital surplus by £0.1bn.

RD

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