Axa has lined up funds for its €12.4 billion ($19.44 billion) acquisition of XL Group after completing the initial public offering (IPO) of US subsidiary Axa Equitable Holdings.

The IPO on the New York Stock Exchange raised $US4 billion ($5.3 billion), of which $US3.3 billion ($4.37 billion) will be set aside for the purchase of the Bermuda-based insurer.

Axa is paying for the all-cash deal from its funds on hand, IPO and related transaction proceeds and subordinated debt.

“Given additional existing additional resources, Axa considers the financing of XL is now secured, because it is not dependent on the issuance of any additional debt,” the French insurance group says.

Axa expects to complete the takeover in the second half of the year.