BREAKING NEWS

BREAKING NEWS

Abu Dhabi Investment buys stake in UK insurer PIC

Now Reading:

Abu Dhabi Investment buys stake in UK insurer PIC

Text size Aa Aa

LONDON (Reuters) - The Abu Dhabi Investment Authority (ADIA) said on Tuesday its private equity department would acquire a stake of up to 21.4 percent in Pension Insurance Corporation Group from funds advised by private equity firm J.C. Flowers & Co.

The deal values Pension Insurance Corporation close to its embedded value of 2.9 billion pounds ($3.8 billion), according to a source with direct knowledge of the matter.

Hamad Shahwan Aldhaheri, executive director of ADIA's private equity department, said the investment, subject to regulatory approvals, demonstrates a strategy targeting "principal investments in market-leading businesses".

PIC Group has become one of the world's biggest investors in bulk annuities, which cover the pension obligations of defined benefit, or final salary, pension schemes for staff.

ADIA was advised on the transaction by Credit Suisse <CSGN.S>, Ernst & Young, Oliver Wyman and Allen & Overy.

J.C. Flowers was advised by Evercore <EVR.N> and Paul Weiss, Rifkind, Wharton & Garrison.

(Reporting by Emma Rumney and Carolyn Cohn; editing by Sinead Cruise and Jason Neely)

euronews provides breaking news articles from reuters as a service to its readers, but does not edit the articles it publishes. Articles appear on euronews.com for a limited time.