TIDMQLT
RNS Number : 8218H
Quilter PLC
05 August 2019
NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN
PART, IN, INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD
CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF THAT
JURISDICTION
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION
FOR IMMEDIATE RELEASE
5 August 2019
Quilter plc ("Quilter") announces the sale of Quilter Life
Assurance to ReAssure for GBP425m
-- Following the strategic review, announced on 4 July 2019,
Quilter and ReAssure are pleased to announce they have entered into
an agreement for ReAssure to acquire Quilter's heritage life and
pensions division, Old Mutual Wealth Life Assurance Limited
("Quilter Life Assurance") (the "Transaction").
-- Under the terms of the Transaction, Quilter plc is expected to receive:
GBP425m, in cash.
-- The sale of Quilter Life Assurance will further act to
solidify Quilter's position as an advice led, modern wealth
manager.
-- The Transaction realises an attractive valuation for Quilter
Life Assurance, strengthening the Group's financial position.
-- Consistent with its disciplined capital management policy,
and in line with previous disposals, the Board currently expects to
return a meaningful proportion of the net sale proceeds, after
allowance for the costs of the Transaction, potential onerous
contracts and capital requirements of Quilter following the
Transaction.
-- Quilter will update on the amount and method of distribution
at the closing of the transaction, expected to be late 2019.
-- The growth profile of the Group following the sale is
expected to be enhanced since Quilter Life Assurance is in run-off.
Further benefits of the Transaction include increased focus on the
delivery of Quilter's growth strategy and the execution of its
optimisation initiatives.
-- ReAssure is a leading closed life book consolidator focused
on managing legacy life insurance products. They are a customer
oriented organisation with a strong focus on delivering good
policyholder outcomes and have a track record of high customer
satisfaction.
-- The Transaction is subject to receiving regulatory approvals from the PRA.
Commenting on the Transaction, 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."
Further information on Quilter Life Assurance
Quilter Life Assurance, a wholly owned subsidiary of Quilter, is
a substantially closed book of unit-linked policies. Formerly the
core of Quilter's UK business, Quilter Life Assurance consists of
pensions, investment and savings, and protection products with both
Retail and Institutional offerings. Quilter Life Assurance key
financials include:
-- Proforma MCEV: GBP406 million at end 2018 after dividend
payments made in 2019 of GBP130 million.
-- Proforma own funds of GBP354 million at end 2018 after
dividend payments made in 2019 of GBP130 million.
-- Gross assets: GBP12,324 million at end June 2019.
-- Operating PBT: GBP26 million for the six months to end June 2019.
All current Quilter Executive Committee members will remain with
Quilter post transaction.
Enquiries:
Quilter
John-Paul Crutchley - Head of Investor Relations Tel: +44 (0) 20 7002 7016
Jane Goodland - Corporate Affairs Director Tel: +44 (0)77 9001 2066
Tel: +44 (0)78 2414 5076
Tim Skelton-Smith - Corporate Affairs
ReAssure
Laura Doyle - Head of Investor Relations Tel: +44 (0) 20 7039 9199
About Quilter plc:
Quilter plc is a leading wealth management business in the UK
and internationally, helping to create prosperity for the
generations of today and tomorrow.
Quilter plc oversees GBP118.4 billion in investments (as at 30
June 2019).
It has an adviser and customer offering spanning: financial
advice; investment platforms; multi-asset investment solutions; and
discretionary fund management.
The business is comprised of two segments: Advice and Wealth
Management and Wealth Platforms.
Advice and Wealth Management encompasses the financial planning
network, Quilter Financial Planning; Quilter Private Client
Advisers; the discretionary fund management business, Quilter
Cheviot; and Quilter Investors, the Multi-asset investment
solutions business. Wealth Platforms includes the Old Mutual Wealth
UK Platform; Old Mutual International, including AAM Advisory in
Singapore; and Old Mutual Wealth Life Assurance, the Heritage life
assurance business.
The Quilter plc businesses are being re-branded to Quilter over
a period of approximately two years:
-- The Multi-asset business is now Quilter Investors
-- Intrinsic is now Quilter Financial Planning
-- The private client advisers business is now Quilter Private
Client Advisers
-- The UK Platform to Quilter Wealth Solutions
-- The International business to Quilter International
-- The Heritage life assurance business to Quilter Life
Assurance
-- Quilter Cheviot will retain its name.
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of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
END
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