Gattung denies insurer sale rumours

Theresa Gattung has been installed as chairwoman of AIA Australia. Photo / Greg Bowker

Former Telecom head and recently appointed chairwoman of AIA Australia Theresa Gattung has denied rumours the life insurer is up for sale.

Speculation has swirled around the possible sale of several of AIA Group's subsidiaries, including Australia and New Zealand, in the wake of the planned US$35.5 billion ($50 billion) acquisition of the parent company by UK-based Prudential.

Gattung told the Australian Financial Review talk of a sale of the Australian business was baseless speculation.

"The speculation is just that, it's just speculation and the team is really focused on driving the business as hard as they have in the last six months," said Gattung.

The Australian life insurer, which last year made a net profit of A$43.5 million ($57 million) and claims to provide life insurance cover to 10 per cent of the Australian population, appointed Gattung as a non-executive chairwoman of its board last week.

Gattung has been a board member of AIA Australia since last July.

She has previous experience with the insurance industry, having worked for National Mutual for three years in the late 1980s.

"Since joining the board Theresa's willingness to play an active role has served to strengthen the existing board and complement the extensive experience of the other directors," said AIA Group chief executive Mark Wilson.

Gattung has been speaking to Australian media to coincide with the Australian launch of her memoir Bird on a Wire.