Aviva, UK's biggest insurer has plans to raise 1.2 billion euros by floating 42 per cent of its Dutch subsidiary Delta Lloyd in an initial public offering.

Shares in Delta Lloyd are expected to start trading on Euronext Amsterdam on November 3.

Each share in Delta Lloyd will be priced between 15.5 and 19 euros.

The sale will provide Aviva with greater flexibility to explore growth opportunities.

Andrew Moss, CEO of Aviva, said, “The IPO of Delta Lloyd is another important development in the delivery of the strategy we laid out in 2007.”

Delta Lloyd suffered a net loss of 100 million euros during the first nine months of the year.

Aviva will retain 57 per cent in the Dutch subsidiary.

In the recent trading, shares in Aviva were trading at 450p-a-share.