Mexico's Grupo Financiero Banorte announced that it has completed a previously announced $858 million buy-out of Italian partner Grupo Generali's stakes in their pension and insurance joint ventures in Mexico.

The companies reached an agreement in June and finalized the transaction after securing the approval of the Finance Secretariat and the Cofeco competition watchdog.

Banorte said it paid $637 million for Generali's stake in their Seguros Banorte Generali insurance business and $221 million for its interest in their Pensiones Banorte Generali pension fund.

On June 11, both companies agreed that Banorte would buy the 49 percent in those joint ventures held by the Italian group.

In June, Seguros Banorte Generali was Mexico's eighth-largest insurer in terms of premiums and Pensiones Banorte Generali was the country's largest private pension fund manager, according to the Mexican Association of Insurance Institutions.

Monterrey-based Banorte, which serves more than 26 million customers and manages more than $148 billion in assets, is Mexico's third-largest bank in terms of loans and deposits, according to the group's figures. EFE