Aegon sees higher free cash flow and dividend for 2025

(Reuters) – Dutch insurer Aegon (NYSE:) projected on Thursday growth in its free cash flow in 2025, as it steps up a strategy of simplifying its corporate structure while investing in riskier assets.

The company said it saw free cash flow of about 800 million euros ($878.96 million) in 2025, up from the 600 million it expects for 2023.

It also forecasts an improvement in its dividend per share from around 0.30 euros expected for 2023 to around 0.40 euros in 2025.

Aegon is simplifying its corporate structure and intends to invest in assets which are higher risk but potentially offer better returns.

The company is in the process of selling its Dutch operations to smaller rival ASR in a cash and shares deal worth around 4.9 billion euros that will see Aegon take a 30% stake.

It said on Thursday that the transaction is expected to be completed in “the coming weeks”.

Aegon’s biggest market is the United States, and it hopes to capitalise on the growing U.S insurance market through its subsidiary, Transamerica.

“Transamerica plans to reinvest part of its earnings on in-force from Strategic Assets in profitable new business to secure long-term growth,” the company said in a statement.

The company on Thursday said it would take “key talent management decisions,” and presented a new logo.

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