Aviva sells Australian business

Aviva's sale of Navigator should be completed later this year

National Australia Bank is to pay 825m Australian dollars ($660m:£401m) for UK insurer Aviva's Australian wealth management businesses Navigator.

NAB is Australia's biggest lender, and the deal is the first acquisition under new chief executive Cameron Clyne.

The deal will add "scale, efficiency and new capabilities to our operations", said NAB.

NAB has identified wealth management, insurance and its advisory business as its key growth areas.

NAB beat off competition from AMP for Navigator and said it expected to complete the acquisition in the fourth quarter of 2009.

"We are well positioned to to respond to changes currently taking place in the wealth management market as a result of the financial crisis and regulatory reviews," said Mr Clyne.