Ageas 'Accretive, Low-risk' AG Insurance Buyout Plan Prompts Berenberg to Lift Price Target

05:38 AM EST, 12/10/2025 (MT Newswires) -- Berenberg raised its price target for Ageas (AGS.BR), after the Belgian insurer entered an "accretive, low-risk" deal to purchase French lender BNP Paribas' (BNP.PA) 25% interest in their AG Insurance venture for 1.9 billion euros. On Tuesday, the research firm increased the buy-rated stock's price target to 73 euros from 71 euros, noting the agreement "enhances Ageas' attractiveness as a dividend stock" as the company offers a 6.6% dividend yield for full-year 2025. "We think that the deal is attractive as it lifts Ageas' gross remittances from operations from EUR940m in FY 2025E to EUR1,110m pro forma, while the share count rises just 10%. This means that holding free cash flow (gross cash remittances minus holding costs) per share is, we estimate, set to rise by 8% pro forma, and we are confident that Ageas will now reach the top end of its EUR8.00-8.50 FY 2027E net operating EPS target range," the note said. Analysts believe Ageas' complete ownership of AG Insurance bolsters the company's position as the "Belgian national insurance champion," which could strengthen its chances of successfully bidding for the government-owned insurer Ethias, if it comes up for sale.