What happened? On Friday, Generali announced that it plans to acquire 77% of MGG Investment Group for $320m. The acquisition will be made through the Generali Investment Holding subsidiary of Conning and Co. MGG is a Private Asset manager specialising senior secured loans and structured capital solutions to US mid-market businesses. It has $6bn of AuM. The deal will have a 2ppt negative impact on Generali group''s solvency position. The deal is expected to close in H2 2025. BNPP Exane View: Overall, this is a deal that continues Generali''s inorganic expansion in third-party asset management. This acquisition fits the company''s attempt to grow its third-party capabilities in private assets and its presence in US markets. The deal is small and not likely to move the dial in terms of earnings. The $6bn of AuM to be acquired is less than 1% of the current Generali Investment Holding AuM. We also do not think it will prevent or limit any of Generali''s other plans that may have in terms of potential strategic transactions. The deal cost of $300m will come from the 2025 - 2027 MandA budget. We forecast a EUR2.7bn MandA budget for the plan period. This assumption is based on a DPS growth in line with EPS and the introduction of a recurring share buyback of EUR300 - 400m per annum.