ReAssure, the UK’s sixth biggest life insurer, gas snapped up Quilter’s heritage life and pensions division ina £435m deal.
The move comes days after SwissRe, ReAssure’s parent’s company, axed its proposed £3bn flotation of the UK unit.
Quilter is expected to receive £425m in cash from ReAssure, part of Swiss Re, for its unit Old Mutual Life Assurance, the group said in a statement on Monday.
“The sale of Quilter Life Assurance will further act to solidify Quilter’s position as an advice led, modern wealth manager,” Quilter said.
Paul Feeney, Chief Executive Officer of Quilter, said: “I am delighted we have agreed to sell Quilter Life Assurance to ReAssure. ReAssure is a highly regarded manager of closed book assets and has the experience to deliver continued high quality investment and administration services to clients of Quilter Life Assurance. The Quilter Board is currently minded to return a meaningful proportion of the net surplus proceeds arising from the transaction to shareholders and will consult with them on the most appropriate means of undertaking this.”