Allianz to Pay $1.61B for Pimco Equity

Announcement

Allianz announced on 31 July 2026 that it will terminate the legacy Pimco employee equity plan and purchase the outstanding Pimco “M Units” for cash.

Details of the M Unit Plan

The M Unit Plan, which granted options to Pimco employees between 2008 and 2020, currently represents a 9.4 % ownership stake in Pimco. Current employees hold approximately 5.0 % of the stake and may retain their M Units under a new separate contractual arrangement until their employment ends. Former employees collectively own a 4.4 % stake.

Transaction Terms

Allianz will pay at least €1.4 billion (approximately US$1.61 billion) in cash at closing for the M Units held by former employees. The cash consideration is the minimum amount payable; the exact final payment will be made at the transaction closing.

Strategic Rationale

The buy‑out simplifies Pimco’s capital structure. Pimco, based in Newport Beach, California, was originally acquired by Allianz in 2000. No new grants under the M Unit Plan have been issued since 2020.