LONDON: ReAssure, a leading closed book life insurance consolidator in the United Kingdom, is considering proceeding with an initial public offering (IPO) and applying for admission of its ordinary shares to the premium listing segment of the official list of the FCA and to trading on the London Stock Exchange’s Main Market for listed securities.[the_ad id=”31605″]The ReAssure Group is a leading closed book life insurance consolidator in the United Kingdom with 4.3 million policies, £68.7 billion of assets under administration on a Post-L&G Illustrative Basis.
ReAssure is the sixth largest life insurance group in the United Kingdom (measured by total assets as at 31 December 2017 and on a Post-L&G Illustrative Basis) and also has operations in Ireland.
The Group focuses exclusively on the acquisition and management of closed book life insurance policies, with a mission to secure and improve customer outcomes. It does not write new business, other than offering increments on current policies to existing customers on a passive basis. The Group is well positioned to benefit from significant closed book market opportunities in both the UK and Europe.
The Group has a five-year cumulative Surplus Generation target from 2019 to 2023 of £2.1 billion and a cumulative Surplus Generation target from 2024 onwards of £4.1 billion.
The Company has engaged Credit Suisse International to act as Sole Sponsor, Credit Suisse Securities (Europe) Limited, Morgan Stanley & Co. International and UBS AG London Branch to act as Joint Global Co-ordinators and Joint Bookrunners. The Company has also engaged BNP Paribas and HSBC Bank plc as Joint Bookrunners.
The Directors believe that the Offer will increase the Group’s flexibility and appetite for growth as it will no longer be subject to Swiss Re specific constraints, such as market risk limits and the Swiss Solvency Test capital framework; widen the Company’s access to capital in the future; and enable the Selling Shareholder to realise part of its investment in the Group. The Company will not receive any proceeds from the Offer.