PZU announces new strategy: PLN 140 bln assets & ROE at 18%

Poland's biggest insurer PZU will enact a "fundamental change of group profile from purely a dividend company to a dividend-growth company," management announced in the kick-off to the new strategy on Wednesday. Among the elements of the new strategy is holding its group ROE at 18 percent to 2020, expanding its banking assets to PLN 140 billion, increasing its revenues to PLN 1 billion and squeezing fixed costs in core domestic insurance operations by PLN 400 million to 2018. "PZU still want to invest in the banking sector. It will consolidate around 5-6 players. We do not rule out adequate ownership decisions within the next several years if the return on this investment in Alior is adequate," PZU CEO Michał Krupiński announced.