Avalon Acquisitions, a group of funds advised by Permira Advisers, has expressed interest in the firm after making a binding offer for 52 per cent of the shares in the company.
If Langholm, Just Retirement’s current major shareholder, accepts, Avalon will take the majority share of the firm. At 76 pence per share, Avalon would pay £117.9m to Just Retirement.
The board of Just Retirement has committed to pay around £2.3m to Avalon in the event that it delivers a firm proposal by August 20 on the terms set out today, but the insurer rejects the offer in favour of another bidder.
The offer is reliant on Avalon’s due diligence on Just Retirement, so there is no certainty an offer will be made.