View more on these topics

Pearl enters agreement to buy out Resolution

The Pearl and Resolution boards of directors have announced an agreement on the terms of the acquisition of the share capital of Resolution by Impala, a subsidiary of Pearl.

Under the terms of the acquisition, each Resolution shareholder will receive 720 pence in cash for each Resolution share, valuing Resolution’s entire issued and to be issued share capital at approximately £4.98bn.

The transaction will create a combined group with assets under management of £85bn, making it a top ten UK life insurer.

Impala and Pearl have also entered into a binding framework agreement with Royal London under which, following completion of the acquisition, Royal London will have the right to acquire certain of Resolution’s business and assets.

The total consideration payable by Royal London for the Royal London assets is £1.267bn.

Pearl remains Resolution’s largest shareholder with an aggregate interest in more than 177 million Resolution shares, representing approximately 25.93 per cent of the existing issued ordinary share capital of Resolution.

Pearl director Hugh Osmond says Resolution and its management team have built an outstanding business and created very significant value for its shareholders.

He says: “We wish to combine the proven strength and expertise of both teams to create one organisation capable of delivering far more than either of its constituent parts. We believe that this will herald a bright future for policyholders, shareholders and employees of the combined group.”

Resolution chairman Clive Cowdery says: “Resolution welcomes both the value delivered to its shareholders and Pearl’s commitment to maintaining policyholder improvements. The board of Resolution is delighted to recommend this transaction, which creates a major UK insurer and an expert manager of closed funds. We wish Pearl continued success in this sector.”


Cofunds’ fee-based services rolled out into new year

Cofunds is piloting its new suite of services for fee-based advisers and will roll out the service over the next few months. The programme includes setting up its cash account, which will link to the client’s bank or building society account. Cash will be deposited electronically or manually via cheque into the account and from […]

Network deal for GI supplier

Berkeley Alexander has become the preferred supplier of general insurance products to members of the HomeLoan Partnership network.

Performing on the Edge

Edge Investment Management is looking to raise up to £25m through a D share offer for the Edge Performance venture capital trust.


News and expert analysis straight to your inbox

Sign up


    Leave a comment