The board of Phoenix Group Holdings has announced the proposed acquisition of ReAssure Group for £3.2bn.
The deal confirms Phoenix as Europe’s largest life and pensions consolidator, and the acquisition is expected to generate additional cash flows of approximately £7bn over time, of which approximately £2.7bn is expected to be generated between 2020 and 2023 and a further £4.3bn from 2024 onwards.
Cost and capital synergies of £800m are expected by leveraging Phoenix’s highly efficient operating model and approach to capital management. The acquisition will also add £84bn of assets under administration and approximately 4.1 million policies.
Phoenix Group’s estimated Solvency II surplus as at 30 September 2019 is expected to increase from £3bn to £4.2bn on a pro-forma basis giving a shareholder capital coverage ratio of 148%.
Phoenix Group’s CEO Clive Bannister said the deal will give the group “an enhanced platform to pursue further growth opportunities, including bulk purchase annuities. We also welcome Swiss Re and MS&AD as significant new shareholders and see their investment as a recognition of the many benefits that this combination can bring”.
This article first appeared on our sister title, Insurance Asset Management.
Latest News
-
Gap between house prices and earnings narrows as borrowing costs limit gains
-
House prices drop in September as annual growth halved
-
Brokers flag funding access concerns under new PM
-
PM confirms triple lock will become ‘annual double lock’ after next general election
-
Half of aspiring homeowners would use pension savings for home deposit
-
Industry divided over Your First Home scheme
AI, finfluencers and the future of broking
The mortgage industry is evolving faster than ever. In this MoneyAge video, we examine the opportunities and challenges redefining the broker landscape, from AI-powered lending and changing customer expectations to housing affordability, property supply and the rise of financial influencers. Our guest from Chorley Building Society shares practical insights on what brokers need to do to stay relevant and thrive in a rapidly changing market.
Perenna and the long-term fixed mortgage market
Content editor, Dan McGrath, spoke to head of product, proposition and distribution at Perenna, John Davison, to explore the long-term fixed mortgage market, the role that Perenna plays in this sector and the impact of the recent Autumn Budget
NEW BUILD IN FOCUS - NEW EPISODE OF THE MORTGAGE INSIDER PODCAST, OUT NOW
Figures from the National House-Building Council saw Q1 2025 register a 36% increase in new homes built across the UK compared with the same period last year, representing a striking development for the first-time buyer market. But with the higher cost of building, ongoing planning challenges and new and changing regulations, how sustainable is this growth? And what does it mean for brokers?
The new episode of The Mortgage Insider podcast, out now
Regional housing markets now matter more than ever. While London and the Southeast still tend to dominate the headlines from a house price and affordability perspective, much of the growth in rental yields and buyer demand is coming from other parts of the UK.
In this episode of the Barclays Mortgage Insider Podcast, host Phil Spencer is joined by Lucian Cook, Head of Research at Savills, and Ross Jones, founder of Home Financial and Evolve Commercial Finance.
In this episode of the Barclays Mortgage Insider Podcast, host Phil Spencer is joined by Lucian Cook, Head of Research at Savills, and Ross Jones, founder of Home Financial and Evolve Commercial Finance.
© 2019 Perspective Publishing Privacy & Cookies
Recent Stories